It isn't located there, since the miracle of Hanukkah occurred after the canon of the Hebrew Bible was sealed.
Hanukkah was instituted after the canon of the Hebrew Bible had been sealed.
Nes gadol haya sham (a great miracle happened there)
To celebrate miracle oil that burned for eight nights
The traditional oil-fried foods symbolize the olive oil of the Hanukkah-miracle.
Hanukkah is not mentioned in the Bible. The story of Hanukkah occurred after the events of the Bible.
Hanukkah is not located in a single country. Jews celebrate Hanukkah wherever they live in the world.
"Full Court Miracle"
The war of the Hasmoneans (Maccabees) against the Syrian-Greeks (Seleucids).
The Hanukkah-miracle happened after three years of fighting, but the battles continued on and off for an additional 25 years.
Hanukkah happened first. Assuming Jesus was born in 4 BC, the Hanukkah miracle occurred 161 years before he was born. Hanukkah is mentioned in the Talmud (Shabbat 21b). The eight-day rededication of the Temple is also mentioned in the book of Maccabees (I, 4:36; and II, 1:18); and Josephus mentions the eight-day festival in Antiquities ch.12.
There aren't any costumes associated with Hanukkah. It's a simple commemoration of an ancient war and the miracle of the oil. Costumes are worn only on Purim.
The oil in which they're fried reminds us of the oil of the menorah in the Temple, for which the miracle of Hanukkah occurred. See the attached Related Link.