I did my first
Disney Cruise in June of 2006 and we're going again in December -- I can't wait!
The food in the dining rooms was on par to most of the table seating restaurants at Disney World. The service is spectacular, too. There are also buffets -- we did the breakfast buffet the mornings we went, and there was plenty of choices and, again, the staff was fabulous. I didn't get the opportunity to dine at Palo, but everyone says that the food there is marvelous and that it's totally worth making a reservation for, so I am going to try to do Palo's in December.
For casual dining, in addition to the buffets, there is a pizza place and a hot dog/burger place near the pools as well as ice cream and fruit, and unlimited access to soda's.
You can also order room service -- most of it is no extra charge, but there are some things that they do charge you for, like if you order soda from room service, there is a charge, but if you get it on Deck 9 (I think that's the deck number), it's free.
All the food options are included in the price of the cruise, except Palo, which is an extra charge (I think it's $10 and most people also give their wait staff an additional gratuity). You can post on the
Disney Cruise Line board, too, to get more information, but in my limited (one 4-day cruise) experience, the food was as good as or better than most Disney World restaurants. Hope this helps and have a MAGIC-al time!
-Dorothy (LadyZolt)