Artisans from around Chiloé  customarily present their best at Dalcahue’s Sunday market, still its biggest attraction, but this modest fishing village, about 20 kilometers northeast of Castro , is gaining importance as a base for sea-kayak excursions among the islands off the archipelago’s sheltered eastern shore.
Nothing remains of Dalcahue’s palafitos, obliterated by the 1960 tsunami, but its 19th-century Iglesia Parroquial is one of the architectural monuments that helped the island’s wooden churches gain UNESCO World Heritage Site status. Most visitors come to Dalcahue (population 4,933) for Sunday’s Feria Artesanal, though a flood of imported kitsch has nearly inundated the quality basketry, wood carvings, and woolens that once typified this lively market.
Mid-February’s Semana Dalcahuina is the town’s major festival.
Dalcahue has several simple accommodations charging US$8–10 per person with shared bath, mostly near the waterfront: Residencial Playa (Rodríguez 009, tel./fax 065/641397, fernanda [at] telsur [dot] cl), which is also one of the best places to eat; Residencial San Martín (San Martín 001, tel./fax 065/641234, omunozb [at] email [dot] com), which also has a restaurant; and Residencial La Fiera (Rodríguez 017, tel. 065/641293). The latter also has larger rooms (US$22 s or d) with improvised private baths. Dalcahue’s finest, stylishly Chilote but with modern comforts, is Hotel La Isla (Av. Mocopulli 113, tel. 065/641246, fax 065/641241, hotellaisla [at] hotmail [dot] com, US$35/41 s/d).
Overlooking the Feria Artesanal on the waterfront, Brisas Marinas (Pedro Montt s/n) has outstanding seafood at moderate prices.
Dalcahue’s tourist information office, near the ferry ramp to Isla Quinchao , keeps erratic schedules and is often closed even in peak season.
Frequent Dalcahue Expreso buses to and from Castro  stop at both the main bus terminal (Freire and O’Higgins) and the waterfront Feria Artesanal. There are also taxi colectivos to and from Castro.
Ferry service from Dalcahue to Isla Quinchao  costs US$7.50 round-trip for automobiles but is free for pedestrians.