Preheat oven to 180 degrees C. Grease and flour a cake tin.
Cream together butter and sugar. Beat in eggs, one at a time until creamy. Mix together milk, food colouring and raspberry essence. Sift together flour and baking powder. Stir into egg mixture, alternating with the milk. Mix well then stir in the coconut.
Pour into prepared tin then bake in oven until a knife inserted into the centre comes out clean, 30-45 minutes. Allow to cool then ice with pink icing and dust with coconut.
Cream butter then gradually beat in sugar. Add food colouring at the end. and beat well.