Coconut nougat candy is a chewy, tropical Mexican confection. This family-friendly treat is a sweet, shredded coconut candy found at markets and shops nationwide.
Line an 8x4-inch loaf pan with parchment paper, leaving a bit of overhang for easy removal.
Combine 2 cups sweetened shredded coconut, 10 oz sweetened condensed milk, 1/4 cup sugar, 1 tsp vanilla extract, and 1/4 tsp salt in a medium saucepan.
Heat mixture over medium-low heat, stirring constantly, for 10–12 minutes until thickened and the coconut appears glossy and sticky.
Remove from the heat, then stir in 1 tbsp unsalted butter until fully melted and incorporated.
Spread the mixture evenly into the prepared pan, pressing it down firmly with a spatula. Let it cool at room temperature for at least 30 minutes before refrigerating for 1 hour to set.
Once firm, lift the candy out using the parchment overhang and cut into bars or squares with a sharp knife.