MCX-SX approaches CCI on feeless currency futures trade by NSE

NEW DELHI: The country's newest stock exchange MCX-SX has approached the competition watchdog CCI complaining against fee-less currency futures transaction at rival National Stock Exchange, which in turn said this was a common practice for any new product.

Competition Commission of India (CCI) will decide in the next few days whether to take up the complaint by MCX-SX alleging predatory pricing by NSE, a CCI official said.

MCX-SX, promoted by commodity exchange MCX and Financial Technologies, in its complaint last month alleged that NSE was abusing its dominant position in the market place by allowing feeless transaction on the currency futures trading.

When contacted, an NSE spokesperson said: "NSE does not levy transaction charges in many of its products in the developmental stage. We have not received any communication from CCI so far. We shall certainly respond to it when we receive it."

MCX-SX, which claims to have a market share of 52 per cent in the currency futures segment, in its complaint has contested that NSE removing the levy on currency derivatives is unfair for a smaller player like them. "NSE is using their dominant position," it said.

When contacted, an MCX-SX spokesperson said: "We have shared our concern at the requisite forum (CCI) and at this moment we do not wish to comment on this matter."