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Caledon Bay is a bay in Arnhem Land, in the Northern Territory of Australia, at approximately 12.8° S, 136.5° E. It is perhaps most famous as the home of a group of Yolngu people who were key players in the Caledon Bay crisis, which marked a turning point in the relationship between Indigenous and non-Indigenous Australians.

Caledon Bay is also the place where Matthew Flinders recorded on 3 February 1803 an encounter with some Aboriginal people and he described them as "Australians".[1] This is one of the first recorded uses of the word to describe the inhabitants of the Continent. He had used the word in his journal before on 3 March 1802 when he saw 3 or 4 Indigenous people near what is now Port Lincoln[2]

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