Uribe and Chavez

Venezuelan President Hugo Chavez threatened on Tuesday to reduce trade with Colombia after a spat with Colombian leader Alvaro Uribe, whom Chavez said he does not "even want to see."

Venezuela is the top market for Colombia's exported manufactured goods, including such basic staples as powdered milk, which has been in short supply in Caracas.

"I'm certain this commercial relationship, which was so difficult to get going and which could be worth around some $5 billion this year, will be hurt because now instead of buying many things from Colombia, well, I'll go to Brazil," Chavez told reporters early on Tuesday.

The diplomatic dispute between the two South American neighbors arose after Uribe suspended Chavez's efforts to facilitate talks with Colombia's main leftist rebel group, the Revolutionary Armed Forces of Colombia (FARC), over the release of hostages.

Uribe accused Venezuela's leftist leader of justifying the guerrilla violence and aiming to expand his influence in the region. Chavez has called him a liar and said on Tuesday that Uribe had stabbed him in the back.

- Reuters