President Clinton's drug policy advisor, General Barry McCaffrey, has warned that the United States withdrawal from Panama has left it wide open to drug-traffickers.

General McCaffrey was speaking at the end of a visit to Mexico, where he reviewed efforts on the southern border to stem the flow of illegal drugs from Colombia.

He said that as Mexico improved its counter-narcotics operations, notably in the Pacific, drug-smugglers were increasingly turning to new routes in the Caribbean.

Correspondents say that General McCaffrey's comments underline growing concerns that the withdrawal from Panama in December has deprived the US of a much-needed hub for counter-narcotics operations in South America.

From the newsroom of the BBC World Service