PUNJABI SHAHI PANEER MASALA (RESTAURANT-STYLE)

Shahi Paneer Masala is one of the most popular Paneer recipes. This recipe plays an important role in all Indian menus, especially in North Indian cuisine. You'll find this recipe in all the restaurants, on special occasions, etc. This is made by adding Paneer in aromatic gravy made with the onion-tomato masala.

this recipe

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The name itself says Shahi, which means Luxury. So, you can guess that the dish called Shahi Paneer feels luxurious in flavor & texture. This is one of those dishes which is relished by Vegetarians as well as Non- Vegetarians. You can make this restaurant-style shahi paneer in minutes in an Instant Pot.

The post contains Helpful Tips & Tricks to make the most aromatic Shahi Paneer Masala. But if you're in a hurry, you can also click "Jump to Recipe' under the Heading to go directly to the Recipe Card.

Jump to:

• 📋INGREDIENTS
• 🔪INSTRUCTIONS
• 💭TIPS TO REMEMBER
• 🧂SUBSTITUTIONS
• 📖VARIATIONS
• 🍳EQUIPMENT
• 🧾FREQUENTLY ASKED QUESTIONS
• 🥗OTHER PANEER RECIPES
• 📖 Recipe

📋INGREDIENTS

You don't need a lot of ingredients to make this delicious and aromatic Indian curry. The more basic the ingredients, the more flavorful curry will turn out. Here is the list of all the ingredients that you'll need to make the curry:

1. PANEER: This is a paneer recipe so you will need nice firm paneer. You can use homemade paneer or get store-bought paneer. I usually get Haldiram's Paneer that is easily available at any Indian store or you can also get Paneer from Costco.
2. ONIONS: Onion are used to make the curry masala. Any onion works for the recipe. I personally prefer using red onions as they give bold flavor to the curry.
3. TOMATOES: I use tomatoes as well as a can of diced tomatoes. Canned diced tomatoes provide nice color to the curry.
4. CASHEW PASTE: Cashew/almond paste give a nice creamy texture to the paneer curry. I usually make the paste in advance and store in the freezer and use it as needed.
5. SWEETENER: You can use honey, maple syrup, or dried fruit like apricots, mongoes, etc.
6. CREAM: You can use whipped cream along with milk or you can also use coconut milk for the creamy flavor.
7. SPICES: I normally use Kashmiri Red Chili Powder, Garam Masala Powder, and Kasuri Methi. Along with that I also use some whole spices like cloves, green cardamom that provide an aromatic flavor.

See the recipe card for quantities.

Check the recipe card below for the full recipe, but you can refer here for step-by-step photo instructions.

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Step 1: Add oil to the pan. When the oil is hot, add sliced onions. Also, add Green Cardamon & Cloves to it. If not using Cashew/Almond Paste, you can add whole Almonds/Cashews at this point too. (But make sure to soak the nuts for 10-15 minutes first before adding in the masala).

Step 2: When onions are cooked and start to change the color. Add tomatoes (fresh & diced). (Note: Diced tomatoes or tomato paste help provide better color and add a little sweetness to the curry). Also add ginger & garlic along with dried fruits like mangoes, peach, nectarines, etc. (if you don't want to use sugar or honey in the curry). Also, add 1 cup of water to avoid sticking.

Step 3: Cook for 5-10 minutes until tomatoes turn mushy. Keep stirring in between so that nothing sticks at the bottom of the pan. Cover it with a lid for faster cooking.

Step 4: When tomatoes turn mushy, then transfer all the ingredients to the blender & grind until it is smooth. I have used Vitamix to blend the ingredients.

Step 5: Then in the pan add butter. And add spices (Kashmiri Red Chili Powder, Garam Masala, Turmeric Powder, Fennel Seeds Powder, and Cumin Powder).

Step 6: Strain the blended masala (this step is optional but it helps in making the curry smooth & creamy). Add cinnamon stick and bay leaf and let it simmer for 5 minutes until the curry comes to desired consistency. Also if you haven't have added dried fruit like peach & mango then you can add honey or any sweetener at this point.

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Step 7: Add Paneer cubes & crushed Kasuri Methi and mix and let it simmer for 1-2 minutes. Add cream and garnish the curry with fennel seeds, and cilantro, and you can also garnish with some chopped nuts.

Hint: You can make Shahi Paneer Masala without adding any cashew pastes or cream. If you want a creamy but still healthier curry, add 1-2 tablespoons of Greek yogurt (just before serving).

• Grinding the whole spices with the paneer masala makes the curry aromatic. For more aromatic flavor, don't forget to add Fennel Seeds Powder just before serving.
• The main flavor of Shahi Paneer comes from its aromatic curry, so I add few spices like Garam Masala & Red Chili Powder. To make a little spicy curry, you can also add green chili to the masala. 
• To get a creamier texture, you can either add Cashew Paste or grind fried cashews or almonds with the masala. Or you can also add almond flour in the grounded masala.
• I add Kasuri Methi while making the curry and not at the end. This brings nice color and taste to the curry. Sometimes when you add Kasuri Methi in the end, it makes curry a little bitter in taste.
• I also like to add diced tomatoes or tomato paste in the masala. This brings a nice color to the curry. Or you can also add tomato puree to the paneer. 
• You can also add Maple Syrup or Honey or Sugar, etc for a little sweetness.

🧂SUBSTITUTIONS

There are some substitutions that you can try:

• VEGAN: Instead of Paneer, you can also add tofu to make the curry vegan. Also if want the curry to be vegan, you can replace milk or cream with either coconut milk or oats milk along with some almond flour. You can also add cauliflower to the curry that also tastes amazing. Checkout Cauliflower version of this recipe on my website.
• HIGH-PROTEIN: To make the curry high in protein, you can also add chickpeas. Chickpeas surprisingly tastes so good in Shahi Paneer curry. Checkout this recipe of creamy Chickpeas Curry by Savory Bites Recipes. Or you can also try my popular recipe of Delhi-Style Chickpeas Curry.
• YOGURT: If you don't want curry to be too rich so can add Greek Yogurt instead of cream. You can add yogurt in some milk and mix it. Add it in the curry just before serving. If you cook yogurt then it will curdle so to avoid this just add milk & yogurt mix just before serving.
• SWEETENER: I usually prefer adding honey or maple syrup. But you can also add some dried fruits like peaches, mangoes, or apricots.

📖VARIATIONS

You can change the recipe as per your taste and preference.

• SPICY: you can make it spicy by adding more red chili powder or Kasmiri red chili powder.
• DELUXE: You can also add some crumbled paneer to make the curry more creamier and rich.
• GRILLED PANEER: You can also add grilled or shallow fried or air fried paneer pieces to the curry. That also give a nice tatse to the curry.

🍳EQUIPMENT

I always make my curries in Indian Kadai as they turn out so great all the time. They are heavy-bottomed pans, so the food cooks quickly and properly. But if you don't have Kadai, you can also use Wok (just make sure it is heavy-bottomed).

Here are some of the equipment I have used for the recipe:

• KADAI: to make and cook the curry. Or when I'm in hurry then I like to make it in my Instant Pot.
• VITAMIX: to grind the onion-tomato masala until it is smooth & creamy
• NINJA FOODI: I have used my Ninja Foodi to air fry the Paneer cubes or you can use any air fryer. You can also shallow fry them on any pan.

🥗OTHER PANEER RECIPES

1. BUTTER PANEER MASALA
2. ACHAARI PANEER
3. PALAK PANEER
4. HOMEMADE PANEER
5. KADAI PANEER
6. MATAR PANEER
7. PANEER TIKKA
8. MALAI KOFTA
9. NAVRATNA KORMA

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📖 Recipe