(The changes) will prevent any development of the Iraqi economy

Mohammed al-Douri, Iraq's UN ambassador

This follows a year-long debate within the council over how to overhaul the 12-year-old embargo amid accusations it was harming ordinary civilians.

US Secretary of State Colin Powell praised the move as a sign the international community wanted to help the Iraqi people.

Under the new scheme, Iraq will be able to import civilian goods without obstruction, while the UN will vet products on a 332-page checklist of "dual-purpose" items.

Currently, contracts for most humanitarian goods must be approved by a UN monitoring committee, which has led to delays.

The council also voted to extend the 1996 oil-for-food programme - which allows Iraq to use oil revenues to buy basic necessities - for six months from 30 May.

Iraq warning

Iraq's UN Ambassador Mohammed al-Douri said the new checklist, which includes items such as computers, crop-sprayers, heavy-duty trucks and cosmetics, "will prevent any development of the Iraqi economy".

Weapons inspectors left Iraq in 1998

Mr al-Douri described the resolution as a front for "American political goals" and called on the UN to end the embargo altogether.

The sanctions can only be lifted after UN weapons inspectors verify Iraq is not developing weapons of mass destruction.

UN arms monitors left Iraq in 1998, complaining that Iraq was blocking their investigations.

Iraq has since barred them from returning.

Powell praise

In a statement, the US secretary of state praised the UN decision.

"Under this new export control system, with its simple, expedited process for exporting civilian goods to Iraq, there can be no excuse for any country to evade the focused controls aimed at preventing the Iraqi regime's re-armament," said Mr Powell.

The White House described the new scheme as "a step forward for the Iraqi people", but said it was now up to Baghdad to improve its citizens' lives.

"Iraq's Government has an opportunity to prove that it seeks the same benefits for all its citizens," spokesman Ari Fleischer said.

The US has threatened to use force against Iraq if weapons inspectors are not allowed back into the country.