Porto is having a moment as one of Europe’s coolest destinations. From its beautiful ceramic-tiled buildings to the venerable port lodges that lie along the glorious Douro River that bisects it, this hilly city is startlingly beautiful and culturally rich. It’s Portugal’s second-largest city, with an urban population nudging 1.8 million, but it’s compact, walkable and full of tempting bars, cafes and restaurants to linger in along the way. Its historic centre is UNESCO World Heritage-listed and remains charmingly authentic, with narrow alleys packed full of colourful houses seemingly about to topple into the Douro. Go there to eat and drink across the spectrum – from the signature port, excellent Douro Valley wines and some masterful high-end dining, to the simplicity of pastel de nata (Portuguese tart) and the city’s signature dish, the kilojoule-loaded francesinha. Photo: Tony Amos

From bacalhau (salted cod) cooked several ways to big pots of sticky seafood rice (the Portuguese are the largest consumers of rice in Europe), Porto’s many traditional restaurants serve up hearty food with an emphasis on seafood and pork. Don’t let the heavy medieval decor put you off: Abadia do Porto (Rua do Ateneu Comercial do Porto 22) has been wildly popular with locals since 1939 for rustic traditions such as roast baby lamb and garlicky shellfish rice laden with lobster. More picturesque, perhaps, is Escondidinho (Rua de Passos Manuel 142). Set within a beautiful room of panelled ceilings and ceramic wainscoting, it offers a greatvalue regional gastronomic menu for €34. Photo: Tony Amos

Stop by Conga (Rua do Bonjardim 318) to watch the pork for bifanas (pulled pork sandwiches) stewing in a big pot in the window. The snack was created here in the ‘70s. Another famed Porto dish is the francesinha, a fried sandwich consisting of layers of pork, ham, sausage and cheese, smothered in a gelatinous spicy red sauce. It’s a diet-killing interpretation of the French croque monsieur. The best in Porto is reputedly served at Regaleira (Rua do Bonjardim 87), but try it at ‘40s time-warp tea house Cafe Aviz (Rua de Aviz 27) and you can play a game of billiards afterwards. One thing to note when eating in Porto – the bread, olives and cheese placed on your table at most restaurants are not free. Unless you wave them away you’ll be charged a few euros, even if you leave them untouched. Photo: Tony Amos

The Yeatman (Vila Nova de Gaia), Porto’s only two-Michelin-starred restaurant, would be popular for its spectacular position alone, with panoramic views of Porto from the Gaia side of the Douro. Happily, it also delivers gastronomically, with chef Ricardo Costo serving up refined, elevated dishes that extract the true flavours of Porto’s prodigious seafood offerings. Beyond Costo’s food, the restaurant, housed in the chic Relais & Chateaux-listed The Yeatman Hotel, is all class, from the murals of tropical paradises to the perfectly judged service. Photo: Tony Amos

Cafe Astoria (Praça da Liberdade 25) was once the city’s place to see and be seen. Occupying a corner room and terrace of what is now the Intercontinental Hotel, it’s enjoying a regeneration as Astoria Restaurant, overseen by the hotel’s executive chef, Pedro Sequeira, who is interpreting traditional Portuguese cuisine with new techniques and approaches. The room has been restored to classic elegance and, in keeping with the Astoria’s importance at the heart of Porto’s fashionable society, local designers have been commissioned to create special pastries for the dessert menu. The area is also home to three restaurants from Porto’s champion of terroir, Rui Paula – the Boa Nova Teahouse, where sea meets sky in a startling modernist building by Pritziker Prize-winning architect Alvaro Siza; DOP, in the UNESCO-listed Palace of the Arts; and DOC, on the banks of the Douro. Visit ruipaula.com/web for details on all three restaurants. Photo: Tony Amos

Padaria Ribeiro (Praça Guilherme Gomes Fernandes 21) is a cafe and bakery dating from 1878, and is known for the finest pastries in town, both salty and sweet, including flaky rissois (pastries filled with chicken, shrimp or veal) and eggy Portuguese tarts. A few doors up, at no. 47, is Leitaria da Quinta do Paco, a modern cafe that occupies a milk shop from 1920 and serves dairy-based snacks such as ‘Romeo e Julieta’ (quince cheese marmalade), stuffed bola de Berlim (doughnuts) and a superb selection of cream-filled eclairs. Photo: Tony Amos

The Art Nouveau Majestic Cafe (Rua Santa Catarina 112), with its marble exterior, Flemish mirrors and gilded plaster ceiling, is the city’s most famous cafe, known these days as the place where J.K. Rowling wrote notes for the first of her Harry Potter books while she taught English in the city. If you find the popular cafe is too crowded, the cavernous Art Deco gem Cafe Guarany (Av. dos Aliados 85-9) on the main square is the place for hot chocolate or afternoon tea. It was traditionally where intellectuals gathered, and still hosts poetry and fado (folk music) nights. One wall is covered with a striking triptych by Graça Morais representing the Indians of Brazil, who supplied the first coffee to Porto. Pictured is the ceramic-tiled Church of Saint Ildefonso, near the Majestic Cafe. Photo: Tony Amos

Porto’s central produce market is sadly neglected, with souvenir stalls encroaching on it, but the street it sits on, Rua Formosa, is full of wonderful mercearia, or delis, bursting with local products – salt from the Algarve, bottles of port, chunky legs of jamon, rounds of cheese and the local smoked sausage, alheira. Stop by Confeitaria do Bolhao at no. 339 for coffee and pao de lo (tube-shaped sponge cake), ovos moles (shell-shaped cakes) or bolo rei (the fruit bread-like ‘King’s cake’ popular at Christmas). Photo: Tony Amos

It comes as no surprise that Porto’s street food skews sweet. On any weekend, stalls selling bite-sized iced sponge cakes called bolinhos (roughly ‘rain scones’) and bolo de mel (honey cake with cinnamon) can be found throughout the city. Ice cream is also popular – try com ovos moles made with soft egg yolks, or the pumpkin jam variety, from the Gelados de Portugal stores. Candy-striped Gelados Santini is the rage in Cascais, but its shop at Largo do Lóios 16 is surprisingly quiet, perhaps because it is away from the waterfront. Portugal’s version of churros, farturas, are part of the language – ‘sto farto’ means ‘I’m done’. And sardines are a national obsession – brightly coloured tins are sold everywhere. You’ll find a great selection at A Vida Portuguesa (Rua da Galeria de Paris 20), a fantastic department store selling the best of Portuguese design in ceramics, food, bath products and fashion. If you want to try the fresh variety, you’ll discover them grilled on the street in the Ribeira district on the Douro or at the Matosinhos harbourfront, north of Porto (take Metro line A to Brito Capelo). Photo: Tony Amos

Shipments of port wine from the quintas, or wine estates, of the Douro Valley to the city of Oporto began in the 17th century. The wine was taken from the dry growing regions up river to age in the cool, damp lodges alongside the port. Porto’s Gaia district, a 30-minute stroll across the river from Ribeira, is home to a number of centuries-old port lodges, each offering visits and tastings. Taylor’s (Rua do Choupelo 250), founded in 1692, is one of the oldest, and its hillside property, set in beautiful rose gardens with roaming peacocks, has an excellent self-guided tour where the process of making the fortified wine is explained. The cool lodge and gardens are a welcome respite on hot days. The €12 admission includes a tasting of three ports. Tip: the 2011 vintage is considered the best in two decades.

Follow the scenic Douro out of Porto and soon you’ll be among the steep slopes and vineyards of the oldest demarcated wine region in the world. The UNESCOlisted valley is dotted with quintas and small villages. We suggest combining a trip to Porto with a stay at the marvellous Six Senses Douro Valley (Quinta Vale de Abrão), the first European resort from the highly regarded Bangkok-based spa group. The spectacular 19th-century manor sits amid extensive formal gardens on the edge of a forest overlooking a particularly lovely bend in the river. Menus are overseen by the aforementioned Rui Paula and, in line with the group’s policy of sustainability, the resort grows much of its produce in a well-tended vegetable garden. We liked the idea of retreating to the spa for a mani/pedi while being served local cheese and wine. This is one resort where wellness and gastronomy are most definitely in perfect synergy.

Sleep in an 18th-century Baroque palace at the Pestana Palácio do Freixo (Av. Escritor Costa Barreto 421), a national monument that was expensively restored and transformed into a five-star hotel in 2009. Photo: Tony Amos

On the banks of the Douro about 10 minutes from the city centre by taxi, the Versailles-like palace is as much resort as grand hotel, with beautiful formal gardens and pool (and a sexy sun deck) on the river, as well as indoor pool and spa. The contemporary guestrooms are housed in the adjoining renovated flour mill. Photo: Tony Amos

The Intercontinental Palacio das Cardosas (Praça da Liberdade 25) occupies, hands down, the best location in the city – right on the main square within walking distance of everything of interest, including the riverfront, and with views of the ornate Town Hall. Originally a monastery, the handsome building has exceptionally well-appointed rooms with large marble bathrooms.

British Airways flies from Sydney to London Heathrow daily, with a quick connection to Lisbon three times a day. (There’s also a direct daily BA flight to Porto from Gatwick.) Photo: Tony Amos