Dhaka is likely to seek duty- and quota-free access of goods to the US market, a liberal policy on visit and immigration visas for its citizens and a soft attitude toward Bangladeshis living in the US.

Washington is likely to seek minimisation of the trade gap heavily tilted to Bangladesh, special protection of its investment in Bangladesh and consent to signing the Trade and Investment Framework Agreement (TIFA), said the foreign ministry sources.

The US has an investment of US$1.2 billion in different sectors in Bangladesh, including oil, gas and energy, according to the American Chamber of Commerce in Bangladesh.

Bangladesh fetches over US$2 billion a year through export to the US, while its import bill is around US$300 million.

Readymade garments, frozen foods, leather and leather goods dominate the Bangladesh's list of exports to the US. Bangladesh imports machinery, spare parts, chemicals, medical equipment, wheat and defence equipment from the US.

Powell is scheduled to arrive in Dhaka on Thursday on a four-hour visit and will meet Prime Minister Khaleda Zia and Leader of the Opposition Sheikh Hasina.

Powell will lead a seven-member high-powered delegation at a hour-long meeting with Foreign Minister M Morshed Khan before leaving Dhaka for Jordan the same day. He will arrive from Cambodia. The US team members include Assistant Secretary of State for South Asia Christina Rocca.

Powell and Morshed will hold a joint press conference after their talks that will also focus on international issues like post-war Iraq and the Palestine-Israeli conflict.

Dhaka agreed in principle to sign TIFA for which Washington approached this February and will officially inform the US secretary of state about it, said sources.

"But the agreement draft Dhaka sought from Washington is yet to arrive," said a commerce ministry high official.

The commerce ministry formed a committee headed by the tariff commission chairman to evaluate possible trade benefits and prepare an agreement draft on behalf of Bangladesh.

About the nature of TIFA, the high official said it is like the cooperation agreement Bangladesh has with the European Union.

"If the agreement is signed, Dhaka will be allowed duty-free access of its goods to the US market. And Washington will get special treatment and protection of its investment," he said.

The US has such an agreement with Sri Lanka in South Asia and with a number of countries in Southeast Asia.

Dhaka will come up at the talks with the issue of US National Security Entry and Exit Registration System (NSEERS) under which 7,238 Bangladesh nationals in the US registered their names and another 25 were arrested and released on bail.

Around 2.5 lakh Bangladeshis are living in the US.

The Ministry of Expatriates' Welfare and Overseas Employment appointed five lawyers to help Bangladeshis fill in forms and get registrations. They have been appointed for two months at the cost of US$ 80,000, the sources said.

Most Bangladeshis living in the US are immigrants or staying with temporary work permits, said the expatriates' welfare ministry sources.

Many Bangladeshis who had no valid documents either left the US or migrated to Canada since the US Department of Justice started the NSEERS, the sources added.

Security was tightened in Dhaka ahead of the visit of Powell.