After more than two years of deliberation, the European Parliament has finally approved far-reaching legislation which will lead to the safety testing of thousands of chemicals used in everyday products.

The draft law known as Reach - Registration, Evaluation and Authorisation of Chemicals - has been described as the most important EU legislation for 20 years. The legislation will create one database including all chemicals used in the EU, and put the onus on the business to show that the chemicals it uses are safe.

It is also meant to encourage the replacement of hazardous chemicals with safer ones and to spur the chemicals sector into researching and developing more new products.

Employers say it will impose heavy costs and cause firms to flee Europe.

The EU legislature voted 407-155 for the legislation with 41 abstentions. The rules must still be agreed by EU member states, possibly as early as next month, and may have to come back to parliament before they can become a law.

The amendments approved included a compromise that substantially reduced the number of chemicals requiring testing.

Lawmakers also supported a measure that would force firms to substitute safe chemicals for hazardous ones when alternatives are available.

The European Commission, original author of REACH, forecasts it will cost the chemical industry 2.3 billion euros over 11 years. Total costs to industry -- including sectors like metals, textiles, electronics and cars -- are estimated between 2.8 billion and 5.2 billion euros.

Germany, Europe's largest chemicals producer with giants like BASF and Bayer, secured a delay in a decision by member states due this month, but Britain, which holds the EU presidency, aims for political agreement this year.

The United States and African nations have said REACH would disrupt trade and hurt their industries.