Paneer Butter Masala Recipe: The Creamy, Flavorful Delight

Paneer Butter Masala, also known as Paneer Makhani, is a popular North Indian dish that features tender paneer cubes simmered in a rich, creamy tomato-based gravy. This vegetarian dish is loved for its velvety texture and a harmonious blend of spices. Whether you’re a fan of Indian cuisine or looking to try something new, this dish is a perfect choice. Let’s dive into the history, ingredients, and detailed steps to make the best Paneer Butter Masala at home.

The Origins of Paneer Butter Masala

The roots of Paneer Butter Masala can be traced back to the vibrant culinary culture of Punjab, a northern state in India. This dish is a close cousin of the famous Butter Chicken (Murgh Makhani), which also features a rich tomato and butter gravy. Paneer Butter Masala became widely popular as a vegetarian alternative to Butter Chicken, embodying the same creamy consistency and buttery flavor but with the use of paneer—a soft, fresh cheese commonly found in Indian cuisine. The dish has gained international recognition and is now a staple in Indian restaurants worldwide.

Key Ingredients

Before jumping into the recipe, let’s discuss the primary ingredients and their roles:

  1. Paneer: Fresh paneer cubes are the star of the dish, providing a soft, mild base that absorbs the flavors of the gravy.
  2. Tomatoes: Pureed tomatoes create the foundation of the gravy, providing a rich color and tangy taste.
  3. Butter: Adds a luscious, silky texture to the sauce and enhances the flavor.
  4. Cream: Balances the spices and adds a creamy finish.
  5. Cashews: These add a natural sweetness and a smooth, thick consistency.
  6. Spices: A mix of garam masala, cumin, coriander, and red chili powder provide warmth and depth.
  7. Kasuri Methi (Dried Fenugreek Leaves): A finishing touch that lends a unique aroma and slight bitterness, elevating the dish.

Detailed Recipe for Paneer Butter Masala

Ingredients

  • 250 grams paneer, cut into cubes
  • 3 tablespoons butter (divided)
  • 2 tablespoons oil
  • 1 cup tomatoes, chopped (approx. 2 large tomatoes)
  • 1 medium onion, chopped
  • 2-3 garlic cloves, minced
  • 1-inch ginger, grated
  • 8-10 cashews
  • 1/2 teaspoon turmeric powder
  • 1 teaspoon red chili powder (adjust to taste)
  • 1 teaspoon garam masala
  • 1 teaspoon coriander powder
  • 1/4 cup fresh cream
  • 1 teaspoon Kasuri Methi (dried fenugreek leaves)
  • Salt, to taste
  • Fresh cilantro, chopped (for garnish)

Instructions

Step 1: Preparing the Tomato-Cashew Paste

  1. Cook the Tomatoes: In a pan, heat 1 tablespoon of butter and add the chopped tomatoes, cashews, ginger, and garlic. Sauté for about 5-7 minutes until the tomatoes soften.
  2. Blend to a Paste: Allow the mixture to cool, then blend into a smooth paste with a little water if necessary. This paste will give the gravy its creamy base.

Step 2: Cooking the Paneer

  1. Optional Step: For a richer flavor, lightly pan-fry the paneer cubes. In a separate pan, heat 1 tablespoon of oil and fry the paneer until they are light golden. Remove and set aside.
  2. Alternative: You can also add the paneer cubes directly to the gravy without frying for a softer texture.

Step 3: Making the Gravy

  1. Sauté the Spices: In the same pan, heat 1 tablespoon butter and add the chopped onion. Sauté until translucent.
  2. Add the Spices: Add turmeric powder, red chili powder, coriander powder, and garam masala. Cook for about 1-2 minutes to release the spices’ aroma.
  3. Add Tomato-Cashew Paste: Pour in the tomato-cashew paste and cook on medium heat for about 5-8 minutes, stirring occasionally. Wait until the oil separates from the masala mixture.
  4. Add Water: Add 1 cup of water to achieve the desired gravy consistency, and let it simmer for 5 minutes.

Step 4: Adding Paneer and Cream

  1. Add Paneer Cubes: Gently add the paneer cubes into the gravy and mix well.
  2. Add Cream: Reduce the heat to low and stir in the fresh cream, giving the gravy a rich, velvety texture. Make sure not to boil the gravy after adding the cream, as this can cause curdling.
  3. Season with Kasuri Methi: Crush the Kasuri Methi between your palms and sprinkle it over the gravy. This adds a unique aroma and authentic taste.

Step 5: Garnish and Serve

  1. Garnish: Top with fresh cilantro and a drizzle of cream if desired.
  2. Serve Hot: Paneer Butter Masala is best enjoyed hot with naan, roti, or basmati rice.

Pro Tips for a Perfect Paneer Butter Masala

  1. Use Fresh Ingredients: Fresh paneer, ripe tomatoes, and aromatic spices make a noticeable difference.
  2. Adjust Spice Levels: For a milder flavor, reduce the red chili powder. You can also add extra cream to make it less spicy.
  3. Paneer Preparation: If your paneer is too firm, soak it in warm water for 10 minutes to soften before adding it to the gravy.
  4. Blending the Paste: Blend the tomato-cashew mixture until very smooth. This will give the gravy a professional, restaurant-style finish.
  5. Kasuri Methi is Key: Adding Kasuri Methi towards the end boosts the aroma and is an essential step for authenticity.

Health Benefits and Nutritional Information

Paneer Butter Masala is high in protein due to the paneer, making it a suitable option for vegetarians. It also provides calcium, which supports bone health. The tomatoes add vitamin C and antioxidants, while cashews contribute healthy fats. However, due to the butter and cream, this dish is rich and best enjoyed in moderation if you are watching calorie intake.

  • Calories: Approximately 400 kcal per serving
  • Protein: 12 grams
  • Fat: 30 grams (mostly from butter and cream)
  • Carbohydrates: 20 grams

Serving Suggestions

Paneer Butter Masala pairs beautifully with Indian breads like naan, roti, or paratha. For a complete meal, serve it alongside steamed basmati rice or jeera rice (cumin-flavored rice). A refreshing cucumber raita or green salad can balance the richness of the dish.

Variations to Try

  1. Paneer Tikka Masala: Marinate paneer with yogurt and spices, then grill before adding it to the gravy.
  2. Low-Fat Version: Substitute cream with yogurt or skip the butter for a lighter option.
  3. Vegan Adaptation: Replace paneer with tofu and use coconut cream instead of dairy cream for a plant-based version.

Frequently Asked Questions (FAQs)

Q: Can I use store-bought paneer? Yes, you can. Store-bought paneer works well, though freshly made paneer will add extra softness and flavor.

Q: How can I store leftovers? Refrigerate leftovers in an airtight container for up to 3 days. Reheat gently on the stovetop, adding a splash of water if the gravy has thickened.

Q: Can I freeze Paneer Butter Masala? Yes, you can freeze it without the paneer. Add the paneer when you reheat the gravy for a fresher texture.


Paneer Butter Masala is an indulgent, creamy, and delightful dish that is perfect for any occasion. Follow this recipe, and with a few basic ingredients, you can bring the flavors of an Indian restaurant right into your home kitchen. Enjoy the rich, comforting flavors and make this dish part of your culinary repertoire!