Bring 10 cups of water to a boil in a large pot. Gradually stir in the sago so that it does not clump. Return to a boil, then reduce the heat to low. Cook until the sago turns translucent, stirring occasionally, about 30 minutes. Pour the sago into jelly molds, and refrigerate overnight.
In a small saucepan, stir together the palm sugar and water. Bring to a boil, and cook until the sugar has dissolved. Strain through a fine sieve to remove grit.
Unmold the puddings, and serve with the coconut milk and palm sugar syrup (gula melaka) separately for each person to pour over their serving.
