In small bowl, beat cream cheese, confectioners' sugar and coconut emulsion with an electric mixer until creamy. Add flaked coconut and beat until well combined. Cover and chill 1 hour.

Roll chilled mixture into 1 inch balls and place on a baking sheet lined with heavy weight dipping paper or waxed paper. Freeze at least 2 hours or overnight.

Melt candy wafers according to package directions. Using a dipping fork, dip truffles in candy coating to cover. Place on prepared baking sheet and immediately sprinkle with sanding sugar, if using. Refrigerate until ready to serve.