Restaurant-Style Paneer Masala (Rich & Creamy Gravy)

How to Make Paneer Masala at Home – Easy Step-by-Step Recipe

Paneer Masala is a rich, creamy, tomato-based gravy cooked with soft paneer cubes and flavored with Indian spices. It tastes just like the curry you get in restaurants—smooth, buttery, and aromatic. This step-by-step recipe will help you create a delicious paneer masala that pairs perfectly with roti, naan, or rice.

Step 1: Prepare the Paneer

Cut the paneer into cubes or rectangles.
If you want extra-soft paneer, soak the cubes in warm water for 10 minutes and keep aside.

Step 2: Make the Tomato-Cashew Base

Blend together:

  • 2 large tomatoes

  • 8–10 cashews

  • 1 green chilli

  • A small piece of ginger

  • 4–5 garlic cloves

Make a smooth paste and set aside.
This gives the gravy its creamy texture without using too much cream.

Step 3: Sauté the Whole Spices

Heat 2 tbsp oil or ghee in a pan.
Add:

  • 1 bay leaf

  • 1 small cinnamon stick

  • 2–3 cloves

  • 1–2 cardamom pods

Let them release their aroma for a few seconds.
This forms the base flavour of your curry.

Step 4: Cook the Onion Mixture

Add 1 finely chopped onion to the pan and sauté until golden brown.
This step adds depth and sweetness to your gravy.
Make sure the onions are well cooked for the best flavour.

Step 5: Add the Tomato-Cashew Paste

Pour in the blended tomato-cashew mixture.
Cook for 6–8 minutes, stirring occasionally, until the raw smell disappears.

You’ll notice the colour becomes darker and the oil starts to separate.

Step 6: Add Spices

Add all the dry spices:

  • 1 tsp red chilli powder

  • ½ tsp turmeric

  • 1 tsp coriander powder

  • 1 tsp garam masala

  • 1 tsp kasuri methi (crushed)

  • Salt to taste

Mix well and cook for another 2–3 minutes to let the spices blend into the gravy.

Step 7: Add Water & Simmer

Add about ½–1 cup water (adjust based on how thick you want the gravy).
Mix and let the gravy simmer for 5 minutes on low flame.
This helps all the flavours come together smoothly.

Step 8: Add the Paneer

Gently add the paneer cubes to the gravy.
Mix lightly so the paneer doesn’t break.
Cook for 3–4 minutes so the paneer absorbs the flavours.

Step 9: Make It Creamy

Add 2–3 tbsp fresh cream or malai.
Stir gently and cook for 1 minute.
This gives the curry its rich and silky texture.

Step 10: Garnish & Serve

Turn off the heat and garnish with:

  • Fresh coriander

  • A little cream

  • A pinch of kasuri methi

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