Paneer butter masala is a beloved North Indian curry where soft paneer cubes are simmered in a silky, mildly spiced tomato-cashew gravy enriched with butter and cream. It’s the dish you order at Indian restaurants when you want something comforting, indulgent, and vegetarian. This recipe recreates that rich, slightly sweet, and tangy flavor at home using simple techniques and readily available ingredients.
Ingredients
- 1 lb (450 g) paneer, cut into 1-inch cubes
- 3 tbsp (45 g) butter, divided
- 1 tbsp (15 ml) oil (vegetable or sunflower)
- 1 large onion (about 150 g), finely chopped
- 2 large tomatoes (about 300 g), chopped
- 10-12 cashews (about 20 g)
- 1 tbsp (15 g) ginger-garlic paste
- 1 green chili, slit (optional, for heat)
- 1 tsp (5 g) garam masala
- 1 tsp (5 g) ground cumin
- 1 tsp (5 g) ground coriander
- ½ tsp (2.5 g) turmeric powder
- 1 tsp (5 g) Kashmiri red chili powder (or ½ tsp regular chili powder)
- ½ cup (120 ml) heavy cream
- 1 tsp (5 g) sugar (optional, to balance acidity)
- Salt to taste
- 2 tbsp (30 ml) water (for blending)
- 1 tbsp (15 g) kasuri methi (dried fenugreek leaves), crushed
- 2 tbsp (30 g) additional butter and 2 tbsp (30 ml) cream for finishing
Instructions
- Prepare the base: Heat 1 tbsp butter and 1 tbsp oil in a pan over medium heat. Add the chopped onion and sauté until golden brown, about 5-6 minutes. Add the ginger-garlic paste and green chili (if using) and cook for 1 minute until fragrant.
- Cook tomatoes and cashews: Add the chopped tomatoes and cashews to the pan. Cook, stirring occasionally, until the tomatoes are soft and mushy, about 5-7 minutes. Remove from heat and let cool slightly.
- Blend the masala: Transfer the cooled mixture to a blender. Add 2 tbsp water and blend into a smooth puree. Set aside.
- Make the gravy: In the same pan, melt the remaining 2 tbsp butter over medium heat. Pour the pureed mixture back in. Add turmeric, red chili powder, ground cumin, ground coriander, and salt. Stir and cook for 3-4 minutes, until the gravy thickens slightly and the oil begins to separate from the sides.
- Add cream and paneer: Lower the heat to a simmer. Stir in the heavy cream and sugar (if using). Add the paneer cubes and gently mix, ensuring the paneer is coated but not broken. Simmer for 3-4 minutes, allowing the paneer to warm through. Do not boil vigorously, as the cream may curdle.
- Finish with fenugreek: Sprinkle in the crushed kasuri methi and the extra butter and cream. Stir gently for 1 minute. Turn off the heat and let the curry rest for 5 minutes before serving.
Tips
- Soak paneer in warm water: If using store-bought paneer, soak the cubes in warm water for 10 minutes before adding to the gravy. This keeps them soft and prevents them from turning rubbery.
- Adjust the heat: The green chili and red chili powder add moderate heat. For a milder curry, omit the green chili and use only ½ tsp Kashmiri chili powder (which is less spicy and gives a vibrant red color). For more heat, add a pinch of cayenne.
- Don’t skip the cashews: Cashews are the secret to the velvety texture and subtle sweetness. If you have a nut allergy, substitute with 2 tbsp of raw sunflower seeds or 2 tbsp of plain yogurt (added at the end, not blended). The texture will be slightly thinner.
- Use full-fat cream: Heavy cream (35% fat) is best for a luscious sauce. Light cream or half-and-half will work but may curdle if simmered too hard. Always add cream off the heat or on the lowest setting.
Serving Suggestions
Serve hot with naan, roti, or steamed basmati rice. For a complete meal, pair with a side of jeera rice (cumin rice) and a simple cucumber salad. A sprinkle of fresh cilantro on top adds freshness.
Variations
- Vegan paneer butter masala: Replace paneer with firm tofu (pressed and cubed) and use coconut cream or cashew cream instead of dairy cream. Use vegan butter or oil.
- Smoky version: After blending the tomato-onion mixture, heat a small piece of charcoal until red-hot, place it in a steel bowl on top of the gravy, and pour 1 tsp of melted butter over it. Cover immediately for 2 minutes to infuse a smoky flavor (dhungar method).
- Add vegetables: Stir in 1 cup of green peas or sautéed bell peppers along with the paneer for a more substantial dish.
Storage and Reheating
Store leftovers in an airtight container in the refrigerator for up to 3 days. The curry will thicken as it sits. To reheat, gently warm in a saucepan over low heat, adding a splash of water or milk to loosen the gravy. Do not microwave on high for long, as the cream can separate. You can freeze the curry (without paneer if possible) for up to 2 months; thaw overnight in the fridge and reheat gently. Add fresh paneer when serving.
Frequently Asked Questions
Can I use store-bought paneer? Yes, store-bought paneer works perfectly. Just soak it in warm water for 10 minutes to soften it before adding to the gravy.
Why does my gravy curdle? Curdling usually happens if the heat is too high when adding cream, or if the tomatoes are too acidic. Always add cream on low heat, and if using very tart tomatoes, add a pinch of sugar to balance.
Can I make it without cashews? Yes, you can use 2 tbsp of blanched almonds or 2 tbsp of raw sunflower seeds. Alternatively, skip the nuts entirely and add 2 tbsp of plain yogurt at the end for tanginess, but the texture will be less creamy.
Is paneer butter masala the same as butter chicken? No, butter chicken (murgh makhani) uses chicken, while paneer butter masala is a vegetarian version with paneer. The spicing is similar, but paneer absorbs flavors differently.
How can I make it less spicy? Reduce or omit the green chili and use only ½ tsp of Kashmiri chili powder. Also, add a little more cream or a spoonful of yogurt at the end to mellow the heat.
Can I use fresh fenugreek instead of kasuri methi? Fresh fenugreek leaves (methi) can be used, but they are more bitter. Use 2 tbsp of chopped fresh leaves and add them in the last 2 minutes of cooking. Kasuri methi is dried and has a more concentrated aroma.
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