Paraty has a restaurant scene that punches well above its size. The town's location on the Costa Verde means fresh seafood is available everywhere — the local fish stew (ensopado de peixe) with coconut milk and coriander is the dish to seek out. The cafés and restaurants around the main praça are tourist-oriented but not bad; the better options are scattered through the back streets of the historic centre.
Cachacinha do Paraty and Merlin o Mago are reliable choices for traditional Brazilian food with fresh fish. For something lighter, the bakeries and juice bars that open early to catch the morning market crowd offer excellent breakfast options before the heat of the day sets in.