I wonder if it could be large sugar crystals. When I've used them on frosting they tend to lose a little of their sparkle that you see in this pic:
http://us.ebid.net/for-sale/new-large-crystal-sugar-sprinkles-cake-topper-white-42285170.htm
It's sanding sugar or shimmering sugar (same thing I believe).
Like this:
http://www.williams-sonoma.com/products/sanding-decorating-sugar/
It's not coconut.
FYI...WS is $5.95 for 5.2 oz while CountryKitchenSweetart has a pound for $2.70
My money is on dessicated coconut. Google it...
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