Dhaka, Feb. 9 -- Bangladesh and the United States on Monday signed an agreement whereby the US committed to establishing a mechanism for certain textile and apparel goods from Bangladesh using American cotton and man-made fibres to enjoy zero tariff entry into the lucrative US market.

At the same time, the agreement reduces the 'Reciprocal Tariff' rate for all other goods between the two nations to 19%. It was originally set at 37 percent and later reduced to 20 percent in August last year.

On the Bangladesh side, the signatories were Commerce Adviser Sheikh Bashir Uddin and National Security Adviser Khalilur Rahman, and on US side Ambassador Jamieson Greer, US Trade Representative. Negotiations on the agreement spanned over nine months...