In a large bowl, stir together sweetened condensed milk and vanilla extract. Fold in shredded coconut until thick and combined.

Divide into 4–5 bowls. Add a drop or two of gel food coloring to each and stir until blended. Adjust color as needed.

Scoop 1 tablespoon of mixture and roll into 1-inch balls. If sticky, chill mixture or lightly dampen your hands.

Roll each ball in extra shredded coconut to coat fully.

Place on a parchment-lined tray and refrigerate for at least 1 hour before serving.