The 76-year-old Oscar winner is in the picturesque spa city to introduce the opening night film, a new adaptation of Jane Eyre, in which she appears.
Dench will receive the Crystal Globe award for her outstanding contribution to world cinema at a ceremony later.
John Turturro will also be feted at the festival, which runs until 9 July.
The US actor, star of Barton Fink and the Transformers films, will receive the event's President award.
A jury, led by Hungarian director Istvan Szabo, will decide which of 12 movies will receive a Crystal Globe next week.
The festival, renowned for its relaxed atmosphere, has been running since 1946.
This latest honour is one of several that Dame Judi - known to millions for her role as M in the James Bond films - has accepted recently.
Last month, she received a fellowship from the British Film Institute and was given the Freedom of the City of London.
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