Paneer Butter Masala Recipe

Prepare paneer

Cut paneer into 2-cm cubes. If using store-bought firm paneer, soak cubes in warm lightly salted water for 10 minutes to soften, then drain and pat dry.

Heat 1 tbs butter and 1 tbs oil in a non-stick skillet over medium heat. Add paneer cubes in a single layer and lightly pan-fry for 2–3 minutes per side until edges are golden. Remove and set aside. Sprinkle 1/2 tsp salt over paneer while still warm and gently toss.

Roast tomatoes and aromatics

Preheat oven broiler or use a hot skillet. Halve the tomatoes and place cut side up on a baking sheet with the whole onion, garlic cloves (unpeeled), and green chili if using. Drizzle with 1 tbs oil. Broil or roast until tomatoes and onion have charred spots and softened, about 10–12 minutes. Alternatively, char on stovetop in a hot pan.

When cool enough to handle, peel the onion and garlic. Roughly chop onion; squeeze garlic from skins. Transfer roasted tomatoes, peeled onion, peeled garlic, fresh ginger, and cashews to a blender. Add 120 ml water and blend to a smooth puree. Strain through a fine sieve if a silkier texture is desired.

Cook the gravy

Heat 2 tbs oil and 2 tbs butter in a deep skillet or saucepan over medium heat. Add 1/2 tsp cumin seeds and 1 bay leaf; let cumin sizzle for 20–30 seconds until aromatic (do not burn). Add the tomato-onion-cashew puree. Bring to a gentle simmer and cook, stirring occasionally, for 8–10 minutes to reduce slightly and remove raw edge.

Once the puree has reduced, add 1 tsp ground coriander, 1/2 tsp ground cumin, 1 tsp kashmiri red chili powder (or paprika for milder color), and 1 tsp salt. Stir and simmer for 4–5 minutes so the spices bloom in the sauce.

Add 1/2 tsp garam masala and 1/2 tsp kasuri methi (crush between your palms before adding). Stir to incorporate. Taste and adjust salt and sugar (add 1/2 tsp sugar if tomatoes are too acidic). If sauce is too thick, add up to 60 ml water, a little at a time, to reach desired consistency.

Lower heat to gentle. Stir in 120 ml heavy cream slowly, mixing until the gravy is smooth and slightly glossy. Simmer 2 minutes more — do not boil vigorously after adding cream to prevent splitting.

Add the pan-fried paneer cubes to the gravy and gently coat them. Simmer for 3–4 minutes so the paneer warms through and absorbs flavor. Add 1 tbs butter and 1/2 tsp lemon juice; gently fold in.

Garnish with 2 tbs chopped fresh cilantro and an extra pinch of kasuri methi if desired. Serve hot with naan, roti, or steamed basmati rice.