Jun 09 2026
RestaurantsPrince of India RestaurantChili Paneer Recipe

Chili Paneer Recipe

Time50m
Serves4

Homemade cheese with ginger, onions and bell peppers in a tomato sauce.

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Ingredients

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Homemade Paneer

Method

Homemade Paneer

  1. 1

    Heat milk

    Pour 2000 ml whole milk into a heavy-bottomed pan. Bring to a gentle boil over medium heat, stirring occasionally to prevent sticking.

  2. 2

    Curdle milk

    When milk starts to boil, reduce heat to low. Add 4 tbs fresh lemon juice gradually, stirring gently. The milk will begin to curdle and the whey will separate (greenish liquid). If it does not separate, add 1 tbs more lemon juice.

  3. 3

    Strain curds

    Line a colander with a clean muslin/cheesecloth and pour the curdled milk into it. Rinse the curds briefly under cold water (use ~0.25 cups cold water) to remove lemon flavor and stop cooking. Gather the cloth and squeeze out excess whey.

  4. 4

    Press paneer

    Add 0.5 tsp salt to the curds, fold the cloth, flatten the curd mass into a block and place a weight on top (a heavy pan) for 20–30 minutes to press into a firm block. Chill for 10 minutes if needed. Unwrap and cut into 1-inch cubes (you should have ~400 g paneer).

Paneer Marinade & Frying

  1. 5

    Prepare coating

    In a bowl combine 0.5 cups cornflour, 2 tbs all-purpose flour, 0.5 tsp salt, 0.5 tsp freshly ground black pepper and 0.25 tsp red chili powder. Mix evenly.

  2. 6

    Coat paneer

    Toss the 400 g paneer cubes gently in the dry mixture so each cube is lightly but evenly coated. Shake off excess flour.

  3. 7

    Fry paneer

    Heat 4 tbs vegetable oil in a non-stick skillet over medium-high heat. Add the coated paneer cubes in a single layer (work in batches if needed). Shallow-fry each side for 2–3 minutes until golden and crisp. Transfer to a paper towel-lined plate to drain. Reserve.

Sauce & Vegetables

  1. 8

    Prep slurry

    In a small bowl, dissolve 2 tbs cornflour in 3 tbs cold water to make a smooth slurry. Set aside.

  2. 9

    Sauté aromatics

    Heat 2 tbs vegetable oil in a wide wok or skillet over medium-high heat. Add 1 tbs minced ginger and 1 tbs minced garlic and sauté for 20–30 seconds until fragrant (do not let burn). Add 2 slit green chilies and sauté for another 10 seconds.

  3. 10

    Cook onions and capsicum

    Add the onion wedges and 2 pieces bell peppers (cut) to the wok. Stir-fry on high heat for 2–3 minutes so they retain a little crunch; you want them tender-crisp and slightly charred on edges.

  4. 11

    Build the sauce

    Lower heat to medium. Add 125 ml tomato puree and 3 tbs tomato ketchup; stir and simmer for 1–2 minutes. Then add 1 tbs light soy sauce, 1 tbs red chili sauce, 1 tbs white vinegar, 1 tsp sugar, 1 tsp salt and 0.5 tsp freshly ground black pepper. Stir to combine and simmer for 1 minute so flavors meld.

  5. 12

    Thicken sauce

    Give the cornflour slurry a quick stir (it may have settled) and pour it into the simmering sauce while stirring continuously. Cook for 1 minute until sauce thickens to a glossy, coat-the-back-of-a-spoon consistency. If sauce becomes too thick, add up to 2 tbs warm water to loosen.

  6. 13

    Finish with paneer

    Add the fried paneer cubes to the sauce and toss gently for 2–3 minutes so the paneer is heated through and well coated with sauce. Drizzle 1 tsp sesame oil (optional) and toss once more. Taste and adjust salt/chili as needed.

Assembly & Garnish

  1. 14

    Garnish

    Transfer Chili Paneer to a serving dish. Sprinkle finely chopped green parts of 2 spring onion stalks on top as garnish. Add lemon wedges on the side if desired.

  2. 15

    Serve

    Serve hot with steamed rice, fried rice, or noodles. Leftovers keep covered in the refrigerator for up to 2 days; reheat gently to avoid toughening the paneer.

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