Kilakarai has great historical significance and is a costal city. It is located in the Bay of Mannar, few kms away from Ramanathapuram. In the Western part of the Kilakarai is a place called as Ervadi and in the Eastern part of this Kilakarai is Sethukkarai and both of this surrounded by pits and to differentiate this pits two beacons lights are placed. Between these pits the ships are passing through. During olden days a particular community of people called Maraikkayar Muslims had their own ships and they used it for the commercial purposes. So in that memory of those people who lived here, the streets were named after them. There are many mosques in Kilakarai like Old Gupta Mosque, Usvathun Hyshna Muslim Trust and North Street Jammath Committee. The town Ramanathapuram is situated near to Kilakarai and the Kilakarai Ervadi Dargah is located at 8 kms from Kilaikarai. The name of the city Kilakarai represents Red color because the city appears red in color when appeared at a distant from the sea.