Mix red chili powder, kashmiri chilli powder and turmeric powder with 2 tbsp of water.
Add the fish pieces, chilli and turmeric mix, kudampuli, chopped ginger and salt with 2 cups of water in the clay pot, cover and bring to a boil.
Next add the grated coconut, and let cook for another 5 to 7 minutes or until the gravy thickens.
For the tempering , heat a tbsp of oil , add the mustard and the fenugreek seeds, once the mustard seeds starts to sputter, add the curry leaves and the chopped shallots, fry till the shallots turn brown.
Add the tempering to the fish curry before taking off the stove.