Line an 8" pan with foil, leaving a few inches to hang over the sides.
In a medium saucepan over medium heat, mix together white chocolate chips, condensed milk, butter, salt, and vanilla extract. Stir until all ingredients are melted, incorporated and creamy. Add in coconut and stir to coat.
Remove from heat and divide batter into three bowls. Add red food colouring to one; melted dark chocolate to the other. Leave the third one as is.
Using an offset spatula, spread chocolate batter on the bottom of prepared pan, ensuring an even layer. Carefully add white layer to the top, taking care not to blend into chocolate. Finally, add red batter to the top of the white, smoothing over with an offset spatula, ensuring an even layer.
Place in refrigerator and chill for about two hours. Once chilled, remove from fridge, peel back foil, and cut into bite-sizes.
For a fun gift idea, you can wrap individual pieces in cellophane or parchment paper.
