Soak the rice and urad dal for 2-3 hrs.( 1hr keep it inside the fridge so that the batter wont be hot while grinding. Hot batter won?t give soft paniyaram.)
Then grind it to a fine batter, add very little water while grinding.
The batter should be thick like idli batter.
Heat oil in a kadai - When oil is hot,take a small spoon and drop the batter in the preheated oil.It will puff up well.
Turn over and cook on both sides to light golden color.
Drain in a tissue paper.
In a bowl add coconut milk,milk,elachi powder,sugar and mix well.
Drop the paniyarams into the prepared milk, let it soak for 5-10mins.