- Grind the shallots, garlic, sugar, shrimp paste and tamarind juice to a smooth paste in a mortar or blender. Add 1-2 tbsp of water for the blender to blend better. Add the grated coconut and mix well.
- Dry-fry the mixture in a wok or skillet over very low heat for 15-30 mins until golden brown and flaky. Add the peanuts and salt, and mix until well blended. Remove from the heat and set aside to cool. Serve in small bowls or sprinkle over rice or side dishes. Serundeng keeps for 2 weeks in an airtight container.