Uruguay's World Cup adventure lasted longer than expected, but the disappointment of defeat was still hard to bear.

Thousands of football fans crammed around giant screens in Montevideo on Tuesday to watch Uruguay play the Netherlands in its first World Cup semifinal in 40 years.

Fans were dreaming of a return to the glory years of 1930 and '50 when Uruguay won the World Cup.

In the end, the 3-2 loss in Cape Town punctured the euphoria, though fireworks were released and a half hearted chorus of "soy celeste" - "I'm a sky blue," as the national team is known - was heard as fans acknowledged their team's efforts.

After the defeat, three people were injured and 57 were detained during disturbances in the city center. Two of the injuries were described as serious.

"The injuries include a youth who received a stab wound and had to be taken to hospital and two adults who were attacked with broken beer bottles during a drunken squabble," said Juan C. Dure, a Montevideo police spokesman.

Uruguay was a surprise semifinalist after struggling to make it to the World Cup finals.

The team finished fifth in the South American qualifiers and needing a playoff against Costa Rica to finally book a place in South Africa - the last squad to confirm its place.

As defeat began to sink in, most fans made their way home quietly as a sombre atmosphere replaced the chanting and dancing.

"The dream is over," said Oscar Umpierrez, a newspaper and magazine stall owner, who closed his business for 90 minutes before the match.

President Jose Mujica said the match should have lasted five minutes longer because "we were winning it."

Watching the game on a giant screen installed at a theatre in the center of Montevideo, Mujica said "we lost, but with lots of dignity."

Sports Minister Hector Lecano said there were plans for a big celebration to welcome the team back to Uruguay on Monday, after the third-place play-off.

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