Japan Biz Leaders Concerned about Yen's Slide to 34-Yr Low

Tokyo, April 25 (Jiji Press)--With the dollar hitting a 34-year high of 155.74 yen in Tokyo on Thursday, Japanese business leaders voiced concerns over the negative impact from the yen's fall on the Japanese economy.

Companies that rely on imports for raw materials are concerned about higher costs, while exporters and other companies that benefit from a weak yen also expressed their worries over possible deterioration in consumer sentiment due to rising prices.

"There will be some damage to the Japanese economy" from the yen's depreciation, Koshiro Kudo, president of chemical maker Asahi Kasei Corp., said.

"Costs of raw materials for gas and fuels for electricity will rise if the yen weakens further," Tokyo Gas Co. executive Taku Minami said at a press conference Thursday, showing concerns over higher procurement costs. "We didn't expect the yen to depreciate this much."

An official of a food manufacturer that uses ingredients from overseas said that "if the yen's weakness continues for a long time, we can't cover it with forward exchange contracts."

[Copyright The Jiji Press, Ltd.]