Kadai Paneer Recipe is a very famous Indian Cottage cheese recipe and is one of the most common dishes ordered in a restaurant. It is spicy and delicious.

Restaurant Style Karahi Paneer Recipe

Course: Main Course
Cuisine: Indian
Prep Time: 10 minutes
Cook Time: 20 minutes
Total Time: 30 minutes
Servings: 4 people
Calories: 363 kcal
Author: Neha Mathur

Kadai Paneer Recipe is a very famous Indian Cottage cheese recipe and is one of the most common dishes ordered in a restaurant. It is spicy and delicious.



  • 3 tbsp Coriander seeds
  • 5 Dry red chili
  • 3 tbsp Oil
  • 2-3 Clove
  • 2 Black cardamom
  • 5-6 Black peppercorns
  • 1 inch Cinnamon stick
  • 1/2 cup Onion Finely chopped
  • 2 Green chilli Slit into half
  • 2 tsp Ginger Garlic paste
  • 1/2 cup Tomato Finely chopped
  • 1/4 cup Tomato Puree
  • Salt to taste
  • 1 tsp Kashmiri red chilli powder
  • 1 tsp Garam masala powder
  • 1 cup Green capsicum Cut into cubes
  • 250 g Paneer Cut into pieces
  • 1 tbsp Ghee
  • 1 tbsp Lemon Juice


  1. Dry roast coriander seeds and 2-3 dry red chilies till slightly browned and a nice aroma starts to come.
  2. Grind to make a slightly coarse powder.
  3. Heat oil in a pan.
  4. When the oil is hot, add the remaining dry red chilies, cloves, black cardamom, black peppercorns and cinnamon stick.
  5. Fry for 20 seconds.
  6. Add onion and fry till translucent.
  7. Add green chilies and ginger garlic paste.

  8. Fry till onion turns golden brown.

  9. Add tomato puree and tomato and fry for 2-3 minutes.
  10. Add the ground masala powder, salt, Kashmiri red chilli powder and garam masala powder.

  11. Now add half cup water and cook for 2-3 minutes.

  12. Add capsicum and paneer and cook for 2-3 minutes. Add some more water if the gravy is too thick.

  13. Cook until oil starts to separate from the sides.

  14. Add ghee and lemon juice and mix well.

  15. For smoky flavour, heat a piece of coal for 5-6 minutes on flame till it is red hot.

  16. Keep a piece of aluminium foil over the curry and keep the piece of coal over it.

  17. Pour 1 tbsp ghee on the hot coal and immediately close the lid for 15-20 minutes.
  18. Reheat before serving.
  19. Serve hot with phulke, naan or laccha paratha.

Recipe Notes

Use fresh paneer to make this recipe. You can also make paneer at home.

If making it for everyday eating, you can skip smoking the gravy. Reserve the flavour for special occasions.

This recipe always taste best when kept for one day. So you can make it one day in advance and reheat when you are serving it.

Smoke the finished curry to get the restaurant style smoky taste.

You can make the masala powder in big batch and store for later use.

Try to make the fresh chilli and coriander dry masala powder for Kadai Paneer. It hardly takes 5 minutes extra but gives a very nice flavour to the curry.

You can add more water if you like the gravy thin. Bring it to a boil and let simmer for 5 minutes. Then cover and let it rest for at least an hour before serving.

Add mushroom to it and make Mushroom Karahi Paneer.

Nutrition Facts
Restaurant Style Karahi Paneer Recipe
Amount Per Serving
Calories 363 Calories from Fat 270
% Daily Value*
Fat 30g46%
Saturated Fat 12g75%
Cholesterol 50mg17%
Sodium 113mg5%
Potassium 321mg9%
Carbohydrates 13g4%
Fiber 4g17%
Sugar 4g4%
Protein 10g20%
Vitamin A 825IU17%
Vitamin C 57.5mg70%
Calcium 343mg34%
Iron 1.4mg8%
* Percent Daily Values are based on a 2000 calorie diet.