Karaikal is a town of the Indian Union Territory of Puducherry. It is the administrative headquarters of the Karaikal District and the second m…Karaikal is a town of the Indian Union Territory of Puducherry. It is the administrative headquarters of the Karaikal District and the second most populated town in the Union Territory after Pondicherry. Located on the Coromandel Coast of Bay of Bengal in South India, it is situated at the center of a coastal enclave surrounded by the state of Tamil Nadu and its Cauvery delta districts.