A gay beauty pageant in Peru turned ugly after a fight broke out between two rival drag queens.

The claws came out and the competition descended into chaos when the newly-crowned Miss Gay San Juan 2013 was attacked by a runner up, following a dispute over a judging mistake.

According to local media, the runner-up disagreed with the decision and accused the judges of favouritism when the result was announced in the northern city of Tarapoto.

In the 30-second video posted online, wigs can be seen flying as the sparring contestants thrash out their differences on stage.

Reports suggest it took some time for security to separate the fueding drag divas.

The viral clip, which has been shared thousands of times, has provoked a huge response from the online community.

"This is absolutely hilarious," one viewer said

Another commented: "And these people are going to say that Russia is not right when it bans the promotion of homosexuality."

Despite the incident and confusion, the winner was able to retain her crown.