Step 1

In a shallow bowl or pan, whisk together flour, paprika, white pepper, Cayenne pepper, salt and sugar.

Step 2

Place eggs and water in a second bowl and lightly beat.

Step 3

Place coconut and panko in a third shallow dish. Mix well.

Step 4

Pour vegetable oil in a Dutch oven or other large pot and place over medium-high heat. Heat until it reaches 350°F.

Step 5

Drop 3 or 4 shrimp into the flour mixture. Turn to coat.

Step 6

Shake excess flour from the shrimp and dip into the eggs, turning to coat well.

Step 7

Allow the excess to drip off.

Step 8

Drop the wet shrimp into the coconut-panko mixture. Press coconut lightly to adhere.

Step 9

Shake off any excess coconut and place the shrimp on a plate or cooking sheet.

Step 10

Repeat until all remaining shrimp are coated.

Step 11

When oil has reached 350 degrees, gently place 1/2 of the shrimp in the oil. Fry, stirring frequently to prevent sticking, until golden, about 2 1/2 minutes.

Step 12

Using a slotted spoon, spider or tongs, remove the shrimp to a wire cooling rack placed over a baking sheet (to catch the dips) and repeat with the remaining shrimp.

Step 13

Serve immediately, accompanied by the dipping sauce.