What to Eat in Madeira: Local Dishes, Where Locals Eat in Funchal, Wine & Food Tours

The short version: in Madeira, eat espetada, beef rubbed with garlic and bay and grilled on a laurel skewer, lapas, limpets grilled in their shells with butter and garlic, and espada com banana, black scabbard fish fried with banana, with bolo do caco, the island’s flatbread, on the side. For espetada, go to Santo António in Estreito de Câmara de Lobos; for lapas, Casal da Penha in Funchal, which holds a Michelin Bib Gourmand; for espada, Tropical Seafood near the market. Drink poncha, the island’s sugar-cane rum punch, at Venda do André or Taberna da Poncha, and taste Madeira wine at Blandy’s Wine Lodge or D’Oliveiras in the centre of Funchal. On a short visit, a food or wine tour is the shortcut. Below: what to eat, exactly where to eat it, what to drink, and the experiences worth booking.

What to eat in Madeira, and where to eat it

Where to eat in Madeira

Most visitors stay in Funchal, and the city covers almost everything: fish near the market, tascas in the Old Town and a cluster of Michelin restaurants in the hotel district to the west. But for the island’s most famous dish, espetada, locals drive 15 minutes west to Estreito de Câmara de Lobos. A casual dinner with wine runs about 25 to 35 euros a head, kitchens serve until about 22:30 or 23:00, and you should book for Friday and Saturday nights. Bread, butter and starters brought to the table unasked can be declined.

Zona Velha and Rua de Santa Maria

The Old Town, east of the market, is Funchal’s evening quarter: cobbled Rua de Santa Maria, painted doors and a terrace on every corner. It is lively but mixed in quality, so choose carefully. Tasca Literária Dona Joana is a tiny tasca on Rua de Santa Maria with a daily chalkboard of small Portuguese plates, good on vegetables and offal. At the far eastern end of the street, Restaurante do Forte sits inside the 17th-century São Tiago fort, with espetada and milho frito; book at weekends. In a restored salt warehouse, Armazém do Sal serves contemporary Madeiran cooking, lapas included, with a strong wine list, at around 45 to 65 euros a head. Jaket, a casual tavern from chef Júlio Pereira, does petiscos and regional dishes with poncha in several versions and Madeiran wines. For a nightcap, Rei da Poncha is a small Old Town bar with more than 20 flavours of poncha.

Mercado dos Lavradores and the seafront

Around the market and down to the sea is where to eat fish at lunch. Tropical Seafood on Rua Dom Carlos I, the former Marisqueira Tropicana, is the affordable address for flame-grilled lapas, espada com banana and garlic prawns. A short walk from the market, Gavião Novo is known for yellowfin tuna with local vegetables and potatoes, at around 16 to 24 euros a head, and is best at lunch. Inside the market itself, head downstairs to the fish hall in the morning to see the espada come in, then upstairs for fruit (see below).

Funchal centre and the Sé

The streets around the cathedral, the Sé, are full of office workers at lunch, and that is when to eat here. A Tendinha serves a workers’ lunch with no printed menu: caldo verde, grilled meat, fish stew and espada with potatoes, for about 8 to 13 euros; arrive before 12:30. Snack Bar Marcelino does daily specials, fish of the day and bolo do caco on an outdoor terrace, also best before 12:30. For dinner, Ákua on Rua dos Murças is listed in the Michelin Guide (Michelin listing) for island fish and seafood, such as braised tuna with razor-clam rice, and is open daily from 12:30. Nearby on Rua da Alfândega, Kampo is Júlio Pereira’s meat kitchen, with matured beef, local pork and lamb from wood-fired grills, and next to the Sé, Theo’s reworks Portuguese classics. On the terrace of The Views Baía hotel, Desarma holds a Michelin star (Michelin listing) for tasting menus of modern petiscos and one of the world’s best selections of Madeira wine.

A little west of the centre, Casal da Penha is a family restaurant with a rooftop terrace and a Michelin Bib Gourmand (Michelin listing): order the grilled limpets in a skillet, then fresh fish or rice dishes; it is closed on Sundays. On Rua Imperatriz Dona Amélia, Audax, listed in the Michelin Guide (Michelin listing), cooks short tasting menus inspired by Madeiran folklore, from Tuesday to Saturday. For the big night, Funchal has two starred hotel restaurants on Estrada Monumental: Il Gallo d’Oro, with two Michelin stars (Michelin listing), and William at Belmond Reid’s Palace, with one star (Michelin listing); book William three to four weeks ahead in July to September and over Christmas and New Year.

Câmara de Lobos

The fishing harbour just west of Funchal is, by local tradition, where poncha was born. Fishermen play cards at the bar tables around the bay, and the streets by the pier fill with people drinking poncha at weekends. For lunch, Vila do Peixe, listed in the Michelin Guide (Michelin listing), works like a market: you choose your fish from the display, it is weighed in front of you and grilled straight away; ask for limpets and sea snails if they have them. It is open daily from noon. Afterwards, Bar Number Two is a relaxed poncha bar known for its many versions. Up the hill in Quinta Grande, above the Cabo Girão cliffs, Venda do André is an old-style bar open since the 1950s, where the poncha is mixed in front of you with a wooden stick and served without fuss; it is often crowded. In August, the town holds an Espada Festival, with food stalls and restaurants serving black scabbard fish.

Island day stops

On any drive west, stop in Estreito de Câmara de Lobos at Santo António, the family restaurant that has made its name with espetada since 1966: beef on bay-laurel sticks with milho frito and chips. It takes no reservations, so arrive early. Heading over the mountains towards the north coast, pull in at Serra de Água for Taberna da Poncha, a rustic tavern known for strong, traditional poncha and the peanuts that go with it; the village holds a poncha and honey festival every January. On the east coast at Porto da Cruz, Engenhos do Norte is a working rum distillery founded in 1927 and still run by steam; from March to May you can watch the sugar cane being processed, and you can taste the rums at Casa do Rum next door.

Quick picks

• Best espetada: Santo António in Estreito de Câmara de Lobos.
• Cheap and fast: the workers’ lunch at A Tendinha, or bolo do caco at Snack Bar Marcelino.
• Best for lapas and espada: Casal da Penha (Bib Gourmand) and Tropical Seafood.
• Best for fish: Vila do Peixe in Câmara de Lobos.
• Old Town dinner: Tasca Literária Dona Joana or Restaurante do Forte.
• Special night: Il Gallo d’Oro, William or Desarma.
• Best poncha: Venda do André, Taberna da Poncha or Bar Number Two.

Names link to Google Maps for directions. We checked these places in October 2026. Opening days change, especially out of season, so check before you go.

The markets

The Mercado dos Lavradores, the farmers’ market at the edge of the Old Town, is the one to see. Downstairs is the fish hall, where the long, black, fierce-looking espada is laid out every morning; go before 09:00 for the best of it. Upstairs, the fruit stalls sell bananas, passion fruit and tamarillos, and vendors will offer you slices to taste. The stalls near the stairs aim at visitors, so ask the price per kilo before you accept a tasting. Friday morning is the busiest and most local time to go. The market is closed on Sundays.

What to drink in Madeira

Madeira wine is fortified and aged in warmth, and the best bottles last for decades. The best wines are named after four noble grapes, from dry to sweet: Sercial (dry, with an aperitif’s sharpness), Verdelho (medium-dry), Boal (medium-sweet) and Malvasia (sweet, for dessert); look out for the rare Terrantez too. Most younger blends are made from Tinta Negra. A glass costs about 4 to 8 euros in town.

Three lodges in the centre of Funchal open their cellars to visitors. Blandy’s Wine Lodge on Avenida Arriaga, in a historic building in the heart of the city, runs tours through its canteiro ageing rooms, where the wine matures slowly in casks under the roof, plus tastings by the glass or by selection; book tour tickets online. On Rua dos Ferreiros, D’Oliveiras is a family house founded in 1850, in a building from 1619 lined with old bottles: taste across the sweetness levels, then ask about older single-harvest wines. H.M. Borges, in its historic cellars on Rua 31 de Janeiro since 1924, offers guided visits with tastings on weekdays; places are limited, so book.

Poncha is the island’s everyday drink: aguardente de cana, the local sugar-cane spirit, beaten with honey and lemon using a wooden stick called a caralhinho. Bars serve the regional and the pescador (fisherman’s) versions, and also mix it with passion fruit, orange or tangerine. Expect to pay about 2 to 4 euros. The classic places to drink it are Venda do André in Quinta Grande, Bar Number Two in Câmara de Lobos and Taberna da Poncha in Serra de Água; in Funchal, try Rei da Poncha or Jaket. In Câmara de Lobos, also try a nikita, wine and beer topped with a scoop of pineapple ice cream.

Food experiences to book in Madeira

Madeira’s food is spread across market halls, wine lodges, poncha bars and espetada houses up in the hills, and the roads are steep and slow. A walking food tour of Funchal covers the market, the Old Town, bolo do caco and Madeira wine in a few hours, and a wine or poncha tour with a driver takes you to the lodges and village bars without anyone having to drive.

Our pick: the Food, Wine and Culture Tour with Market Visit, rated 4.7 (881) on GetYourGuide.

Ratings as shown on GetYourGuide in October 2026. Check the listing for live prices and availability.

Food day trips from Funchal

An easy half day heads west: lunch at Vila do Peixe in Câmara de Lobos, poncha at Venda do André, and espetada for dinner at Santo António in Estreito. A full day crosses the island via Serra de Água for poncha, or goes east to the Engenhos do Norte rum distillery in Porto da Cruz. To add vineyards and cellars with a guide, see our Madeira wine tours and tastings.

Frequently asked questions

What is the one dish to eat in Madeira?

Espetada, the beef skewer grilled on laurel wood, with milho frito and bolo do caco. Santo António in Estreito de Câmara de Lobos is the classic address; in Funchal, try Restaurante do Forte.

Where do locals eat in Madeira?

At workers’ lunch places such as A Tendinha and Snack Bar Marcelino in central Funchal, at the fish restaurants of Câmara de Lobos, and at the espetada houses of Estreito de Câmara de Lobos.

Where can I eat cheaply in Funchal?

A Tendinha’s lunch costs about 8 to 13 euros and Snack Bar Marcelino about 9 to 15 euros. Tropical Seafood is an affordable place for lapas and espada, and poncha is about 2 to 4 euros a glass.

Do I need to book restaurants in Madeira?

For Friday and Saturday nights, yes, and three to four weeks ahead for William in peak season. Santo António takes no reservations, and A Tendinha and Snack Bar Marcelino do not take bookings, so arrive early.

Which Madeira wine lodge should I visit?

Blandy’s Wine Lodge for a guided tour of the ageing rooms, D’Oliveiras for a relaxed tasting among old bottles, and H.M. Borges for a booked weekday visit. Start with a dry Sercial and finish with a sweet Malvasia.

Do you tip in Madeira?

A tip of 5 to 10 percent in cash is usual if service is not already included. Bread and starters brought unasked are charged if eaten, so send them back if you do not want them.

Is a food tour worth it in Madeira?

Yes, on a short stay: in one walk you taste bolo do caco, market fruit, poncha and Madeira wine, and learn where to go back. Compare them above or on our Madeira food and wine tours page.

Plan your Madeira food trip

Madeira food and wine tours in Funchal · Madeira wine tours and tastings · Portugal food and wine tours · The best food and wine in Portugal · What to eat in Lisbon