In a small bowl mix vanilla wafers, egg, and water until well blended. Refrigerate 1 to 2 hours.
To make dipping sauce: In a small sauce pan blend nectar into cornstarch. Stir in brown sugar, vinegar and catsup.
Heat mixture over a medium heat, stirring constantly until mixture thickens and comes to a boil. Set aside.
In a stockpot or deep fryer heat 2 cups oil to 375 degrees F (175 degrees C). Dip shrimp in vanilla wafer batter and fry 4 to 6 shrimp at a time until golden brown.