In a thick bottom pan, put 2 tbsp ghee, once melted, add coconut and on a low flame keep stirring for 3-4 mins. (Keep aside 3-4 tbsp of coconut in a plate)

Next add milk and keep stirring untill the the milk is absorbed completely.

Now add sugar and stir continuously otherwise coconut may stick to the bottom and burn.

Once the sugar is dissolved this mixture will come together in a pan, this is when you put the flame off. Let it cool for 10 mins or so then add vanilla essence & mix well.

Now take few drops of ghee on your palms and take small quantity of coconut mixture and give the shape of ladoo (ball).

Next dip this coconut ladoo into the dry coconut which was kept aside in step one.

Repeat the process with the remaining coconut mixture. They are ready to eat.

Store the ladoos in an air tight container. Ladoos will last long if stored in a refrigerator.