**Latin American and Caribbean nations have agreed to set up a new regional body without the US and Canada, Mexican President Felipe Calderon has said.**The new grouping would serve as an alternative to the Organisation of American States, the main forum for regional affairs in the past 50 years.
Mexico is hosting a summit of the Rio Group and the Caribbean Community (Caricom) in Cancun.
The summit has also reportedly backed Argentina’s claim over the Falklands.