Paneer Butter Masala Recipe

Prep time:5 mins

Cook time:25 mins

Total time:30 mins

Author: Shivani

Recipe type: Side

Cuisine: North Indian

Yield / Serves: 4 to 5

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Ingredients (240 ml cup used)

  • Oil 2 tsp.
  • Cubed onions(1 cup), 2 medium (optional)
  • Finely chopped tomatoes (3 large)
  • Salt as per taste
  • Cashew nuts(10-15)
  • Coriander powder 1 tsp.
  • Garam masala powder 1 tsp.
  • Kashmiri red chilli powder (adjust for best color)
  • Sugar(optional) ½ tsp.
  • Butter 3 tsp.
  • Bay leaf 1
  • Green cardamom 3
  • Cinnamon stick – 1 small
  • Cloves (1 small)
  • Ginger garlic paste (1 tsp)
  • 250 grams paneer (cubed)
  • ½ Tsp. Kasuri methi
  • ½ Cup Cream( + for garnishing)
  • few coriander leaves chopped for garnishing

How to make the recipe


  1. Heat oil in a pan, fry onions until they turn transparent.
  2. Add tomatoes and fry with little salt for 5 minutes on low flame. Cook covered till the mixture turns soft and messhy.
  3. Add garam masala, coriander powder, cashew paste, red chili powder and sugar if using. Fry until the mix gets roasted well and it should begin to leave the oil on the sides of the pan. Switch off the heat.
  4. Let the mixture cool, and then blend it with 1 cup water in a mixture jar to very smooth paste.

Making paneer butter masala

  1. Add butter to the same pan, add all dry spices and fry for 2 to 3 minutes. Add ginger garlic paste and saute well until the raw aroma is gone away.
  2. Pour the blended puree, add Kashmiri lal mirch powder, if desired ¼ to ½ cup of water. Cook for 5 minutes or until the gravy thickens. Let the gravy reach the desired consistency before adding paneer.
  3. Add paneer and kasuri methi . Stir well and cook for 3 minutes. Add cream and then again cook for 1 min.
  4. Transfer butter paneer to a serving bowl and garnish with cream, coriander leaves and serve hot.

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