Rinse shrimp under running cold water, pat dry and place it in a bowl. We prefer our shrimp with the peel on since the peel adds more flavor to the curry, but it is optional and use the shrimp you prefer.
Add turmeric powder and salt to the shrimp, mix it and keep it aside for at least fifteen minutes.
Meanwhile, blend the garlic and ginger to a fine paste with a little water (about 1 tbsp).
In a heavy-bottomed pan, heat oil on medium-high and add the onions. Once the onions turn golden brown, add the ginger-garlic paste. Reduce the heat to medium and sauté for 2-3 minutes or until the spices are aromatic. Then add the garam masala and chili powder and fry for one more minute.
Add the shrimp to the sautéd spices and mix well.
Add the coconut milk and sugar. Stir for 30 seconds or until the sugar is dissolved.
Add the water and stir gently until all the spices are blended well with the coconut milk and water.
Bring the shrimp curry to a boil and let it simmer for 3-4 minutes.
Turn the heat off and garnish the shrimp curry with the cilantro. Serve hot with steamed rice.