The US has suspended its ban on imports from Burma ahead of Barack Obama's landmark visit to the country on Monday.
The State Department called the waiving of the ban – in place since 2003 - another step in the normalisation of bilateral economic relations with the former outcast state.
It is "intended to support the Burmese government's ongoing reform efforts and to encourage further change, as well as to offer new opportunities for Burmese and American businesses," a department statement said.
A ban on imported gems – an industry seen to drive corruption and violence - will stay in place. Investment sanctions had previously been eased.
Mr Obama will be the first US president to visit the country which has been mired in decades of repression but is slowly embracing democracy.
The president also will visit Thailand and attend a regional summit in Cambodia on his first overseas trip since June.
A shop in Yangon on Friday ahead of Mr Obama's visitSecretary of State Hillary Clinton said in September that the US would be easing the restriction to reward the reformist government of President Thein Sein, who has shifted the country from five decades of ruinous military rule.
Mr Sein has released hundreds of political prisoners, including democracy leader Aung San Suu Kyi, who was elected to parliament in April.
The government and Ms Suu Kyi have made clear their desire for the import ban to be lifted to help integrate Burma into the global economy, the State Department said.
The US has fielded criticism from Burmese activist groups for being too hasty in rewarding Mr Sein's government.
Concern remains within the government about Burma's corruption, ethnic conflicts, political prisoners and continued military ties to North Korea.
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