Craving that iconic, spicy, and flavorful Kadai Paneer you love from restaurants? Now you can make this beloved Indian classic right in your kitchen with my easy-to-follow recipe! This paneer masala is rich, tangy, and perfectly spiced - a vegetarian meal that pairs beautifully with warm naan, roti, or steamed rice. Ready to enjoy a restaurant-quality dish anytime? Let's get cooking!
What Is Kadai Paneer
Kadai means wok in Hindi - that deep, round cooking pan perfect for making rich, flavorful dishes. You might also hear it called Karahi Paneer, or Paneer Ghee Roast. No matter the name, this is one vegetarian dish you absolutely must try if you love Indian cheese!
After testing many recipe variations and ingredients, I've finally settled on this recipe of Kadai Paneer because it's spicy, tangy, and comes with a luscious gravy that will keep you coming back for more.
Ready to impress your family and friends with the best recipe of Kadai Paneer? Let's get cooking!
Difference between Kadai Paneer and Paneer Butter Masala
Kadai Paneer has a slightly spicier, smoky flavor with a chunky masala made from freshly ground whole spices, while Paneer Butter Masala tends to be creamier, milder, and uses a tomato-based gravy with butter and cream.
What Is Paneer
Paneer is a fresh cheese that's a staple in Indian cuisine. It's an unaged, non-melting soft cheese made by curdling milk with lemon juice or vinegar. Its soft, chewy, milky, and dense texture makes it incredibly versatile - perfect for adding a satisfying bite to many dishes. Whether grilled, sautéed, or simmered in gravy, it always adds that special touch.
While it looks a bit like tofu, it has a richer, creamier texture because it contains more fat. Because it's dairy-based, it is deliciously mild and can even be enjoyed uncooked!
Why make it
- 🥗 A Wholesome Vegetarian Meal: Perfect for lunch, dinner, or anytime you're craving something comforting and flavorful.
- ⏱️ Ready in About an Hour: From prep to plate, this recipe is simple and manageable - great for busy days!
- 🧂 Pantry-Friendly Ingredients: Made with everyday spices and staples you likely already have on hand.
- ✨ Rich, Unique Flavor: The special spice blend and the addition of ghee bring out a bold, restaurant-style taste you'll love.
Ingredients needed
Paneer
This Indian cottage cheese is made from milk and has a texture similar to tofu but with a richer, creamier bite. You can easily find it in Indian grocery stores, on Amazon, or make it at home.
Bell Pepper
Bell peppers add a mild sweetness and a pleasant crunch to the dish. Use any color - green, red, yellow, or a mix.
Ghee
Ghee enhances the overall flavor and gives the dish a rich, nutty aroma.
For a vegan version, substitute with coconut oil, neutral cooking oil, or vegan butter.
Spices
A well-balanced combination of ground and whole spices gives this Kadai Paneer its signature flavor: Turmeric, Onion powder, garlic powder, cumin seeds, fenugreek seeds or methi seeds, coriander seeds, and dried red chilies.
Toasting the whole spices and combining them with the ground ones creates a deep, aromatic base for the curry.
Other Ingredients
Yogurt (adds creaminess and tang), tamarind (for a slightly sour flavor), garlic, grated or shredded coconut (adds richness and depth to the gravy).
How To Make It 🔪
To Prep The Paneer
- In a mixing bowl, add yogurt along with turmeric powder, onion powder, garlic powder, and salt. Whisk everything together until well combined.
- Cut the paneer into your preferred shape (cubes work best for this recipe). Add them to the yogurt mixture.
- Gently toss to coat all the pieces evenly. Let it marinate for at least 30 minutes to absorb the flavors.
- Heat ghee in a pan over medium heat. Once hot, add the marinated paneer cubes and shallow fry until they turn light golden on all sides. Avoid over-frying, as they can turn rubbery if cooked too long. Remove them and place it on a plate. Set it aside for now. Chef tip: Reserve the leftover yogurt marinade - it will be used later in the recipe
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To Prepare The Kadai Paneer Ground Masala
While the Indian cottage cheese is marinating, start preparing the flavorful masala that forms the base of this dish.
- Heat a little oil in a pan over medium heat. Once hot, add cumin seeds, coriander seeds, and fenugreek seeds. Roast for 30 to 40 seconds, or until they begin to release a fragrant aroma.
- Add dried red chilies, tamarind, and garlic to the pan. Continue roasting for 1 to 2 minutes, until the garlic turns golden and everything is lightly toasted.
- Stir in the grated or shredded coconut and roast for another 2 minutes, or until it turns light brown. This adds a nutty depth and natural sweetness to the masala.
- Transfer everything to a plate and let it cool completely. Once cooled, add the mixture to a blender with a little water and grind it into a smooth, creamy paste.
This fresh, homemade masala paste is what gives the recipe of Kadai Paneer its unique, restaurant-style flavor.
Assemble and Cook the Kadai Paneer
- Use the same pan you used to fry the paneer. In the remaining ghee, add the freshly ground masala paste. Sauté for 3 to 4 minutes on medium heat to allow the flavors to develop.
- Stir in the chopped bell peppers and continue sautéing for another 2 to 3 minutes. They should soften slightly while still retaining some crunch.
- Pour in the reserved yogurt marinade from earlier. Mix well and cook until the mixture comes to a gentle boil. Add salt to taste and a little sugar to balance the sourness and spiciness of the gravy.
- Gently fold in the fried paneer cubes and simmer for a minute or two, just until everything is well-coated and heated through.
🍽 Serving Suggestions
Serve this Kadai Paneer hot, garnished with fried curry leaves or fresh coriander for an added burst of flavor. It pairs wonderfully with Indian flatbreads like roti, chapati, naan, or bhakri.
You can also enjoy it with steamed rice, cooked quinoa, or cauliflower rice for a wholesome meal. Another fun way to serve it is by rolling the sabzi into a tortilla or paratha for a quick and tasty wrap - perfect for lunchboxes or on-the-go meals.
💭 Priya's Recipe Tips
When preparing the yogurt marinade, you can substitute onion and garlic powder with fresh ginger-garlic paste for a more authentic Indian flavor. For the best taste, use organic ghee. If you don't have dried red chilies, red chili powder or paprika works well as alternatives. Tamarind can be used in various forms-pulp, extract, or paste-depending on what's available. For the coconut, feel free to use freshly grated coconut, dried shredded coconut, or coconut flakes. The consistency of the Kadai Paneer gravy is a personal preference; you can thin it out by adding a little water until you reach your desired texture.
FAQs 📖
To make a vegan version of Kadai Paneer, simply replace the paneer with extra-firm tofu, potatoes, cauliflower, mushrooms, or soya chunks. Use dairy-free plain yogurt for the marinade. If you're using mushrooms, there's no need to marinate them - just mix them with the spiced yogurt mixture and sauté directly. For frying, substitute ghee with vegan ghee, plant-based butter, coconut oil, or any neutral cooking oil. The result is just as flavorful, comforting, and 100% plant-based.
Kadai Paneer stays fresh in the refrigerator for 2 to 3 days, but you can also freeze it for longer storage. For best results, freeze just the gravy. When ready to eat, simply thaw and heat the gravy, then add freshly fried paneer cubes. This helps maintain the paneer's texture and keeps the dish tasting fresh and delicious.
Shallow fry paneer just until it turns light golden. Avoid overcooking, as paneer can quickly become rubbery and tough. If you are using frozen paneer, keep them immersed in hot water until soft, and then use it in the recipe.
For the masala, you can skip the oil and dry roast the whole spices and other ingredients instead. Dry roasting enhances the flavors just as well, but be careful not to burn the spices while roasting. When grinding the masala paste, add enough water to achieve a smooth and creamy consistency.
More Indian Gravy Recipes
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Recipe 📖
Easy Recipe Of Kadai Paneer
Equipment
- Mixer Gringer
Ingredients
To Prep The Paneer
- 150 gms Paneer
- ½ cup Yogurt
- 1 teaspoon ground turmeric
- ½ tablespoon onion powder
- ½ tablespoon garlic powder
- salt
- ¼ cup Ghee for frying
To Prepare The Kadai Paneer Ground Masala
- 1 teaspoon cooking oil
- 1 tablespoon cumin seeds
- 1 tablespoon coriander seeds
- 1 teaspoon fenugreek seeds
- 1 tablespoon tamarind paste
- 4 dried red chillies
- 6 cloves garlic
- ¼ cup grated coconut
Assemble and Cook the Kadai Paneer
- 1 Bell pepper chopped
- 1 teaspoon sugar
- salt
- 2-3 tablespoon chopped cilantro
Instructions
To Prep The Paneer
- In a mixing bowl, add yogurt along with turmeric powder, onion powder, garlic powder, and salt. Whisk everything together until well combined.
- Cut the paneer into your preferred shape (cubes work best for this recipe). Add the paneer to the yogurt mixture.
- Gently toss to coat all the pieces evenly. Let it marinate for at least 30 minutes to absorb the flavors.
- Heat ghee in a pan over medium heat. Once hot, add the marinated paneer cubes and shallow fry until they turn light golden on all sides. Avoid over-frying, as paneer can turn rubbery if cooked too long. Remove the fried paneer and place it on a plate. Set it aside for now. Chef tip: Reserve the leftover yogurt marinade - it will be used later in the recipe
To Prepare The Kadai Paneer Ground Masala
- While the paneer is marinating, start preparing the flavorful masala that forms the base of this dish.
- Heat a little oil in a pan over medium heat. Once hot, add cumin seeds, coriander seeds, and fenugreek seeds. Roast for 30 to 40 seconds, or until they begin to release a fragrant aroma.
- Add dried red chilies, tamarind, and garlic to the pan. Continue roasting for 1 to 2 minutes, until the garlic turns golden and everything is lightly toasted.
- Stir in the grated or shredded coconut and roast for another 2 minutes, or until it turns light brown. This adds a nutty depth and natural sweetness to the masala.
- Transfer everything to a plate and let it cool completely. Once cooled, add the mixture to a blender with a little water and grind it into a smooth, creamy paste.
- This fresh, homemade masala paste is what gives the recipe of Kadai Paneer its unique, restaurant-style flavor.
Assemble and Cook the Kadai Paneer
- Use the same pan you used to fry the paneer. In the remaining ghee, add the freshly ground masala paste. Sauté for 3 to 4 minutes on medium heat to allow the flavors to develop.
- Stir in the chopped bell peppers and continue sautéing for another 2 to 3 minutes. They should soften slightly while still retaining some crunch.
- Pour in the reserved yogurt marinade from earlier. Mix well and cook until the mixture comes to a gentle boil. Add salt to taste and a little sugar to balance the sourness and spiciness of the gravy.
- Gently fold in the fried paneer cubes and simmer for a minute or two, just until everything is well-coated and heated through.
- Serve this Kadai Paneer hot, garnished with fried curry leaves or fresh coriander for an added burst of flavor. It pairs wonderfully with Indian flatbreads like roti, chapati, naan, or bhakri.
Randi G says
This was a fun recipe to make- lots of great spices combined to make a really flavorful curry. The paneer was perfect and using the marinade as part of the curry was an added bonus- hate to see anything go to waste! Glad I doubled the recipe and have leftovers for tonight!
Priya says
Yay! happy to hear that you loved the recipe. Thank you so much for the feedback. 🙂
Cate says
This recipe looks so yummy and flavorful! Can't wait to try it!
Priya says
Thank you so much
Julia says
This looks delicious and is so quick to make! Love it!
kim says
Yum! This recipe was easy and so tasty. I will definitely be making this again!
Dolly @ Thrifty in the Kitchen says
I can practically smell this right now! The ingredients alone sound so good, would love to try them together!