Combine raisins and water in saucepan. Bring to a boil, reduce heat to simmer, and cook until all of the water has been absorped.
Sift together flour, bakng powder, soda and salt. Set aside.
Cream shortening and sugar together in mixer, then add eggs and vanilla and cream all together. Add flour mixture and combine just until dough comes together. Add raisins and incorporate well.
Combine sugar, cinnamon and nutmeg in a small bowl. Form cookie mix into balls the size of walnuts. Roll dough through sugar mix, place on cookie sheet about 2-inches apart, and flatten slightly with the bottom of a glass.