Paneer Butter Masala

Paneer Butter Masala, also called Butter Paneer, is a classic North Indian dish. The rich, spiced, creamy tomato-based gravy is indulgent yet somewhat balanced. It was born in Delhi in the 1950s at the legendary Moti Mahal restaurant, the same place that gave us Butter Chicken. The legend goes that leftover tandoori chicken was simmered in a rich tomato-butter gravy to keep it moist, and soon after, a vegetarian version using paneer appeared for guests who did not consume meat. What began as sheer kitchen ingenuity became a restaurant staple, and then a global comfort dish. The magic of the dish lies in the contrast -velvety sauce, smoky sweetness, soft buttery cubes of paneer that absorb every bit of flavor -proof that patience and good butter can turn simplicity into luxury. This is not for the calorie counting people but you could go a bit easy on the butter to keep it lighter and on the healthier side. This dish is perfect for pairing with naan, roti, or steamed rice and it keeps very well in the fridge or freezer making it perfect for easy meal plan. Follow these steps to make it at home @sarchakra

PREP TIME: 30 mins

COOK TIME:30 mins

SERVES:30

Ingredients

  • Paneer 80 oz (2.26 kg), cubed
  • Oil 8 tbsp, divided 
  • Butter 2 tbsp
  • Cloves 2-3
  • Cinnamon stick 1 small
  • Green cardamom 2-3
  • Bay leaf 1
  • Cumin seeds 2 tsp
  • Onion 2, finely chopped
  • Ginger paste 1 tbsp
  • Garlic paste 1 tbsp 
  • Salt to taste
  • Turmeric 4 tsp, divided 
  • Red chili powder 2 tsp
  • Kashmiri chili powder 2 tbsp, divided 
  • Coriander powder 2 tbsp 
  • Tomatoes 4, puréed
  • Yogurt 4 tbsp, beaten
  • Cashews 12-15, soaked and blended with a little water
  • Dry fenugreek leaves (kasuri methi) 1 tbsp, crushed
  • Sugar 2 tsp 
  • Water 1 cup
  • Cream 1 cup
  • Green chilies 2-3, thinly sliced
  • Ginger 2 tbsp, thinly sliced
  • Fresh coriander for garnish

Method 

  • Heat 5 tbsp oil in a pan. Add butter and let it melt. Toss in cloves, cinnamon, cardamom, bay leaf, and cumin seeds. Once they start crackling, add finely chopped onions and sauté until golden brown.
  • Mix in ginger-garlic paste and cook until the raw smell disappears. Add a pinch of salt, 2 tsp turmeric, red chili powder, 1 tbsp Kashmiri chili powder, and coriander powder. Stir and cook for a minute.
  • Add the puréed tomatoes, and cook covered for 10-12 mins till the tomatoes are cooked and the oil begins to separate from the mixture.
  • While the tomatoes are cooking, in a separate non stick pan, heat 3 tbsp of oil. Add the cubed paneer. Sprinkle 2 tsp of turmeric powder, the rest of the Kashmiri red chili powder and a little salt. Keep the flame low and fry both sides of the paneer gently moving it around till golden. Soak the fried paneer cubes in medium hot water for at least 20 mins.
  • In a small pan add the ginger and thinly sliced green chilies and sauté briefly. Keep aside.
  • When the tomato mixture is cooked and the oil floats on top, stir in beaten yogurt. Fry until it integrates into the oil. Add smooth cashew paste and continue frying for a minute.
  • Sprinkle in kasuri methi and a pinch of sugar. Add ½ cup water, cover, and cook on low flame for a few mins. 
  • Stir in cream, then gently fold in the fried paneer mixture and sauteed ginger and green chillies. Cover and simmer on low for 2–3 minutes until the flavors meld and the oil floats on top.
  • Sprinkle with chopped coriander leaves and serve hot with naan, roti, or rice.

Notes

The recipe above is a big batch so feel free to adjust the ingredients according to the amount of paneer you are using. Use more tomatoes and onions, if you want more gravy.

Soaking the fried paneer in moderately hot water makes it soft and spongy and absorb the flavors of the curry.

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A large, silver bowl filled with neatly cut cubes and triangular pieces of paneer, a type of Indian cheese.
Paneer cut and ready to be fried
Raw paneer cubes arranged on a plate.
Chopped onions being sautéed in a pan.
A close-up of Paneer Butter Masala being prepared, featuring cubed paneer mixed in a creamy tomato-based gravy garnished with fresh coriander and ginger.
Steps
A dish of Paneer Butter Masala featuring golden-brown cubes of paneer simmered in a rich, creamy tomato sauce, topped with fresh coriander and sliced ginger.
Paneer Butter Masala
A close-up of a creamy Paneer Butter Masala dish featuring cubes of paneer in a rich, spiced tomato-based gravy, garnished with fresh coriander and offsetting spices.
A serving of Paneer Butter Masala, featuring cubed paneer in a rich, creamy tomato-based gravy, garnished with fresh coriander, next to a bowl of basmati rice and a small dish of green chutney.
Paneer Butter Masala with Rice

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