Take a fresh coconut and break it. Extra the coconut out of the shell and shred it into thin pieces.
Take shredded coconut in a bowl and add warm water. Soak for about 20 minutes to soften it.
In a blender, add the soaked coconut and 2 cups of warm water. Blend for 3-4 minutes on high speed.
Now take a muslin cloth and pour the mixture in. In another bowl, collect the coconut milk by squeezing the cloth.
Store the coconut milk in a clean jar or bottle and shake well before use.