How to make Paneer Butter Masala Recipe

Paneer Butter Masala is among the most beloved paneer dishes in India, and it’s easy to see why! Soft cubes of Indian cottage cheese are coated in a rich, creamy, and mildly spiced tomato gravy that’s simply irresistible. Follow detailed step-by-step instructions to effortlessly recreate this restaurant-style Paneer Butter Masala at home!

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Here’s why this Paneer Butter Masala is a standout dish:

Delicious Every Time: The blend of flavors and textures makes this recipe a consistent hit with everyone!

Authentic Restaurant Flavor: Enjoy the rich, creamy taste of restaurant-style Paneer Butter Masala right at home.

Easy to Make: With simple ingredients and step-by-step instructions, anyone can prepare this dish effortlessly.

Perfect for All Occasions: Whether for a casual meal or a special gathering, this dish always impresses.

Customizable: Adjust the spice level and richness to suit your taste.

Essential Ingredients for Perfect Paneer Butter Masala

  1. Ripe, Juicy Tomatoes: The foundation of the rich makhani sauce, ripe red tomatoes add sweetness and depth. If fresh, ripe tomatoes aren’t available, opt for canned whole tomatoes blended to perfection. Canned tomatoes are picked at peak ripeness, providing a fuller flavor than store-bought tomato purée.
  2. Raw Cashews: Cashews bring a velvety creaminess and balance the tanginess of the tomatoes with their natural sweetness. For a nut-free alternative, try Paneer Makhani, made with cream instead of cashews for a similar taste.
  3. Cream: To thicken and enrich the sauce, cream is essential. For a vegan option, coconut cream can be used, though it will alter the flavor slightly. You can also skip the cream for a lighter gravy.
  4. Butter: Butter adds a luxurious, rich flavor without going overboard. Use the recommended amount to keep the dish indulgent without being too heavy.
  5. Paneer: The star of the dish, soft and fresh paneer, is key. Homemade paneer is best, but high-quality store-bought paneer works well too. Just follow the package instructions to ensure the perfect texture.
  6. Spices & Herbs: A simple yet flavorful mix of spices keeps this recipe quick and easy for weeknights. Kashmiri red chili powder gives the dish its vibrant color. If unavailable, substitute with cayenne or paprika. Garam masala and kasuri methi (dried fenugreek leaves) enhance the flavor, while fresh cilantro makes the perfect garnish.

Step-by-Step Guide to Making Paneer Butter Masala

Before diving into this flavorful dish, a little prep work is needed to ensure the best results. You’ll start by soaking cashews, preparing tomato purée, and blending the soaked cashews.

Preparation Steps:

  1. Soak 18-20 cashews in ⅓ cup of hot water for 20-30 minutes. This helps soften them for a creamy, smooth texture in the sauce.
  2. As the cashews soak, use the time to prep the remaining ingredients. Chop the tomatoes, prepare the ginger-garlic paste, and cut the paneer into cubes to ensure everything is ready for easy cooking.
  3. To prepare the ginger-garlic paste, crush a 1-inch piece of peeled ginger along with 3 to 4 small to medium garlic cloves using a mortar and pestle. Grind until you achieve a semi-fine or fine paste. Set aside.

    Note: Avoid adding water while crushing the ginger and garlic.
  4. After soaking for 20 to 30 minutes, drain the water from the cashews and transfer them to a blender or mixer-grinder.

    Add 2 to 3 tablespoons of fresh water, or just enough to blend into a smooth, fine paste.
  5. Blend to a smooth paste without any tiny bits or chunks of cashews. Remove the cashew paste from the blender and set it aside.
  6. In the same blender, add 2 cups of diced or roughly chopped tomatoes.

    Note: There’s no need to blanch the tomatoes or to wash the blender pitcher before blending.
  7. Make the Tomato Gravy

    Blend to a smooth tomato puree. Set aside.

    Note: Don’t add any water while blending the tomatoes.
  8. Make the Tomato Gravy

    Heat a thick-bottomed or heavy pan over low to medium-low heat. Add 2 tablespoons of butter (or 3 to 4 tablespoons for a richer taste). You can use either salted or unsalted butter.

    Tip: For added protection against the butter browning too quickly, you can mix 1 tablespoon of oil with 1-2 tablespoons of butter. The oil helps to slow down the browning process.
  9. Keep the heat on low and add 1 medium-sized bay leaf (tej patta). Fry for 2 to 3 seconds, or until it becomes fragrant.
  10. Add the prepared crushed ginger-garlic or 1 teaspoon ready-made ginger-garlic paste.
  11. Sauté until the raw aroma of the ginger-garlic disappears, about 10 to 12 seconds.
  12. Pour in the prepared tomato purée.

    Note: Be careful while adding the purée as it may splutter.
  13. Mix it very well with the butter.
  14. Begin to cook the tomato purée on a low to medium-low heat. Stir at intervals.
  15. The tomato purée mixture will start simmering.
  16. If the tomato purée splutters too much while cooking, then cover the pan partly with a lid or cover fully with a splatter guard (channi lid).
  17. Continue stirring occasionally.
  18. Simmer the purée for 5 to 6 minutes.
  19. Add 1 teaspoon Kashmiri red chili powder or deghi mirch.

    You can also opt to add just ½ teaspoon Kashmiri red chili powder, or ¼ – ½ teaspoon of cayenne, paprika or any other variety of red chilli powder that you prefer.
  20. Sauté till the butter starts leaving the sides of the pan and the entire tomato purée mixture comes together as more of a thick paste.

    Note: This entire cooking/sautéing process takes about 14 to 17 minutes on a low to medium-low heat. Time will vary depending on the thickness of the pan, size, the intensity of flame etc.
  21. Now add the prepared cashew paste.
  22. Mix the cashew paste very well with the cooked tomato puree and continue to stir and sauté on a low to medium-low heat.
  23. Sauté the cashew paste until it’s fully cooked and the oil starts to separate from the sides of the masala. This should take about 3 to 4 minutes on low heat. Make sure to stir continuously to prevent burning.
  24. Next add 1.5 cups water.
  25. Make Paneer Butter Masala

    Mix the water very well with the tomato-cashew masala. If there are lumps, then break them with a spoon or use a wired whisk for mixing.
  26. Allow the curry to simmer and come to a gentle boil over low to medium-low heat. Stir occasionally to ensure even cooking.
  27. After 2 to 3 minutes, add ginger julienne (about a 1-inch piece of ginger, cut into thin, matchstick-like strips). Reserve a few strips for garnishing. The curry will start to thicken as it cooks.
  28. After 3 to 4 minutes, add 1 or 2 slit green chiles.
  29. Once the gravy has thickened to your desired consistency, add the paneer cubes (200 to 250 grams).

    Tip: Consider the final consistency you want before adding the paneer, as it will cook quickly—just until warmed through. For extra flavor, you can also fry the paneer separately and add it to the gravy when it reaches your preferred thickness.
  30. Stir and mix the paneer cubes gently in the gravy. You can switch off the heat at this point.
  31. Next, stir in 2 to 3 tablespoons of low-fat or light cream, or 1 to 2 tablespoons of heavy whipping cream.
  32. Stir gently but well. If you haven’t yet, switch off the heat.
  33. Serve the Paneer Butter Masala hot, garnished with 1 to 2 tablespoons of chopped coriander leaves (cilantro) and the reserved ginger julienne. For an extra touch, you can drizzle some cream or add a few dots of butter. Enjoy!

What to Serve With Paneer Butter Masala

With Roti: The slightly sweet and mildly spiced Paneer Butter Masala pairs perfectly with roti or chapati, making it a staple combination.

With Other Indian Breads: Enhance your meal with naan, tandoori roti, paratha, roomali roti, or Malabar paratha for a delicious variety.

With Rice: Enjoy this flavorful dish with steamed basmati rice or Jeera Rice (cumin rice) for a satisfying and complementary side.

Ingredient Notes and Substitutes

Tomatoes: For the best results, use ripe, red, and firm tomatoes with a slightly sweet flavor. If fresh tomatoes aren’t available, opt for canned tomatoes.

Paneer (Indian Cottage Cheese): Homemade paneer is ideal, but if not possible, use high-quality store-bought paneer. Making paneer at home is simple and worth the effort.

Butter: Choose good quality butter, whether unsalted or salted, and whether yellow or white. Freshness and quality are key.

Cashew Substitutes: If cashews are unavailable, almonds are a good alternative. Soak almonds in hot water for 30 minutes, peel them, and blend with a little water to a fine consistency. Alternatively, you can make my Paneer Makhani recipe, which is nut-free.

Color: For that vibrant orangish-red hue typical of makhani gravy, use Kashmiri red chili powder or deghi mirch. Deep red tomatoes also help achieve the desired color. Avoid artificial food colors for a more natural appearance.

Expert Tips

Tomato Purée: Make sure the tomatoes are puréed very finely. For an even smoother texture, you can strain the purée to remove any lumps.

Cooking Tomato Purée: Cook the tomato purée thoroughly until the butter starts to separate from the sides of the pan. This indicates the raw tomato flavor has been cooked out. Under-cooked purée can leave a raw tomato taste.

Cashew Paste: Soak raw cashews in hot water for 30 minutes to achieve a fine paste. Avoid using roasted cashews, as they don’t blend as smoothly.

Taste and Flavor: If the gravy turns out tangy or sour, adjust the flavor with up to 1 teaspoon of sugar or extra cream. Adding cream may reduce the need for additional sugar.

Frying Paneer: For a richer flavor, you can fry the paneer cubes before adding them to the gravy. This step adds extra texture and taste to the dish.

FAQs

Can I add onions or onion paste?
Onions are not traditionally used in makhani gravy and will alter the dish’s flavor. However, if you prefer, you can add about ¼ to ⅓ cup of finely chopped onions. Alternatively, use ½ cup of onion paste; add it after the tej patta and sauté until light golden.

Are the cashews raw or roasted?
For recipes where cashews are blended into a paste, always use raw cashews.

Can I use canned tomato purée?
Yes, canned tomato purée can be used. If the purée is too tangy, add up to a teaspoon of sugar to balance the flavor. For the best taste, opt for canned whole tomatoes and purée them yourself.

Can I blanch the tomatoes?
Blanching tomatoes before puréeing is optional. It can help with peeling and may slightly reduce cooking time, but it won’t change the overall taste. You can also strain the purée if desired.

What kind of tomatoes should I use?
Choose ripe, firm tomatoes that are red in color, not yellow or white. Roma tomatoes are a good option. In India, use large salad tomatoes rather than the smaller desi varieties.

Is there a substitute for tej patta?
You can simply omit it from the recipe.

Can I replace cream with milk powder or milk?
Milk powder can be used, but start with ½ tablespoon to avoid excessive sweetness. Adjust to taste, but do not exceed 1 tablespoon total. Avoid using milk, as it may curdle due to the acidity of the tomatoes.

What is Kasuri methi, and can I skip it?
Kasuri methi refers to dried fenugreek leaves, which add a distinct aroma. You can skip it or substitute with a light pinch of ground fenugreek seed powder.

My tomato gravy has become too sour. How can I fix this?
Add more cream and a bit of sugar to balance out the sourness.

Can I use honey instead of sugar?
Honey can become toxic when heated, so it’s best to avoid using it in cooking. If you prefer, you can add honey when the dish is warm, but not when it’s hot.

What can I use instead of butter?
You can replace butter with ghee (clarified butter) or a neutral-tasting oil.

If you have any questions not covered in this post and if you need help, leave a comment or mail us at blog@ramshiromanicaterers.in and we’ll help as soon as we can.

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