San Andres island is a popular destination for Canadian and Colombian tourists.

SAN ANDRES ISLAND -- A light drizzle sprays the boardwalk but doesn't dampen the spirits of German and Luz Correal as they dance away the afternoon with daughters Diana and Gabriela.

The pulsating calypso, reggae and soca rhythms have once again beckoned the Correal family to this freeport island paradise.

"We come back for the beautiful colour of the seas and the beautiful dance music," said German, a doctor from Bogota, Colombia.

Relaxing with a glass of fruit punch on the seaside boardwalk at Royal Decameron Marazul Resort, he reflected on the rich history of San Andres, which has produced a colourful Anglo-Caribbean culture with Spanish influences.

It's believed the chronicled history of San Andres -- plus sister islands Old Providence and Catherine -- originated in 1510 when Spanish navigators discovered the islands while travelling from Jamaica to Miskitos. Many historians, though, surmise that this trio of islands, known as the Archipelago, was discovered during the second voyage of Christopher Columbus. Some subscribe to the theory that conquerors Alonso de Ojeda and Pedro de Nicuesa were first to land there.

The records of English and Dutch pirates, buccaneers and smugglers detail the discovery of these islands early in the 1600s. And, in 1692, a group of English puritans sailed to Old Providence to establish the Provadencia slave trade company. African slaves were brought in for heavy work in 1633, but some escaped to San Andres, where they survived on turtles and crabs. Eventually, the area came under Spanish rule and, on June 23, 1822, they joined the Colombian Constitution.

Today, this oasis of white beaches, coral beds, coconut groves and wild orchards is a popular tour destination for Canadians and Colombians alike, said Decameron Hotels president Lucio Garcia.

"There is never a shortage of activities -- from dance classes, scuba diving, windsurfing and snorkelling to racquet sports," said Garcia.

Like the Marazul resort, the nearby Decameron San Luis hotel also offers all-inclusive packages for cost-conscious families like the Correals, who've sampled both destinations.

"The Marazul is more of a family place," said Luz Correal. "The San Luis is great for young couples who enjoy the nightlife."

The route to secluded Contadora Island took us through Panama, where it quickly became apparent Latin American airlines aren't inclined to stick with schedules.

The 12-minute puddle-jumper flight from Panama City to Contadora produced a few white knuckles as the 16-seater plane descended to a runway which extends the entire width of the island.

Ecological tour guide Pablo Clua said densely treed Contadora was once used by the United States army to train soldiers for battle in Vietnam. It also housed the deposed Shah of Iran and his family.

Panamanian tourism officials have worked diligently to enhance and preserve Contadora's charming assets, like its 13 crystal white beaches.

"Where else can you step off a plane and walk to your resort?" smiled Clua as we strolled past a nine-hole executive golf course adjacent to the air strip.

"People love it here because, maybe you only see five or six cars on the island," said Clua of the 7.6 sq. km Pacific Ocean hideaway, where pop artist Michael Bolton maintains a retreat.

There is only one place to stay -- the all-inclusive Contadora Beach Resort and Casino, complete with an au naturel sunbathing section.

A hovercraft whipped us back to Panama City. Two miles from modern-day Panama City sit the preserved ruins of the country's first capital, Panama La Vieja, from where Spaniards mounted forays to conquer the Inca empire of South America. The capital was razed by fire in 1671 and a new settlement was erected two years later.

Today, Panama City serves as a world financial centre -- home to more than 100 banks.

During a quick street tour of the metropolis, Clua noted that low import duties make for exceptional prices in the market and shopping districts.

One retail centre, the Avenida, consumes more than 20 blocks of the main street.

"The shopping centre is more than one mile long," said Clua.

Moments later, the bus circled a compound once inhabited by Manuel Noriega. It's somewhat quieter now without the blaring rock music.

If you go:

GETTING THERE: Regent Holidays and Air Transat are big on Latin America this winter. To wet your travel palate, ask your travel agent for a copy of Regent's video on Latin America, highlighting some of these packages: PANAMA at the El Panama Hotel, no meals included, from $1029. CONTADORA at the all-inclusive Contadora Resort and Casino from $1129. SAN ANDRES: The Marazul from $1029 or the San Luis from $979.

PANAMA CANAL FACTS: The Universal Canal Company of France began construction of the canal in 1883 but declared bankruptcy six years later after completing 25% of it. The United States bought the French concessions for $40 million in 1903, the year Panama declared independence from Colombia. The U.S. began work on the canal in 1904 and the first ship passed through its locks 10 years later. It is 51 miles long with a minimum width of 300 feet and minimum depth of 37 feet. More than 14,000 ships per year pass through three locks between Panama City and Colon. Panama takes control of the canal later this year.