We have a family member who doesn't drink (or eat) any alcohol. Any general suggestions for substitutions for alcohol would also be appreciated.
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The port is used to rehydrate and flavor the prunes. For rehydration, you can use any warm liquid: even water would be fine, the dish will still taste great! If you want to replicate the flavor profile of port, coffee with a tablespoon or two of brown sugar will get you close to the caramel notes of port.
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You could also use a fruit juice -- like cider or cranberry juice.