Mexican President Felipe Calderon says the new organization will defend democracy and human rights and foster cooperation among Latin American and Caribbean countries.

The countries agreed to create the bloc at the Rio Group summit ending Tuesday in Mexico.

The birth of the new bloc was marred by a war of words between conservative Colombian Alvaro Uribe and Venezuela's leftist Hugo Chavez. One official says Uribe challenged the Venezuelan leader to "be a man." The official spoke on condition he not be identified.