Shangri-La, formerly Zhongdian, was renamed in 2001 after the fictional Himalayan paradise in James Hilton's novel, and it sits on the edge of the Tibetan plateau at 3,200 meters. The population is largely Tibetan, and the food is essentially the same as you would eat in Lhasa or Shigatse, adapted to a slightly lower and wetter landscape.
The basics
Butter tea is served everywhere, churned from brick tea with yak butter and salt, sometimes in a sweet version with milk and sugar. Tsampa is roasted barley flour mixed with butter tea into a dough and eaten by hand. Yak meat appears as dried strips, as stews, and as grilled steaks in restaurants that cater to visitors; it is leaner and stronger-tasting than beef. Yak yogurt is thick and tart and often served with honey.
Other dishes
Look for Tibetan momos, thukpa noodle soup, and blood sausage made with barley. Dried cheese, hard and salty, is sold in the old town and chewed as a snack. Hotpot with yak and wild mushrooms is a good winter meal. In the old town, converted Tibetan houses serve set meals that let you try several dishes at once, which is the easiest way to eat well without knowing the menu.
Practical notes
Yunnan's mushroom season runs from June to September and the local markets in Shangri-La sell an impressive range, including some species rarely seen elsewhere. Eat mushrooms only at established restaurants. Butter tea and most dishes contain dairy, so travelers avoiding dairy should say so clearly. The altitude is moderate but real: eat lightly on your first evening and drink more water than usual. Old town restaurants are cold in winter; sit near the stove.
