To make the jelly: In a saucepan over medium heat, combine water, sugar, vinegar, chile and red pepper, gelatin and salt and cook for 10 minutes, stirring to dissolve sugar and gelatin. Refrigerate for 2 to 3 hours until set.

To make the calamari: Coat calamari in milk, dredge in flour and shake off excess. In a deep fryer or skillet, heat canola oil to 375 degrees. Fry calamari (you might need to do it in two or more batches) for 1 to 2 minutes, until golden brown. In a mixing bowl, toss hot calamari with 6 tablespoons of jelly and serve immediately.