Shahi Paneer – My Food Story

Published: Apr 12, 2022 · Modified: Apr 12, 2022 by Richa · This post may contain affiliate links.

Luxurious, rich and flavourful are the words that come to mind when we think of shahi paneer. Velvety smooth gravy, soft cubes of paneer and a tonne of flavour make this dish truly royal. Serve it with some butter naan or rice for a finger-licking, wholesome meal.

Originally, Shahi Paneer is a Mughlai style paneer recipe and has a very rich mouthfeel. It is made without tomatoes and has a white gravy.

I’m not a fan of that version because it feels too heavy and can be very sweet. This is the Punjabi or North Indian version of shahi paneer that is made with onions, tomatoes, cashews, cream and a mix of spices. The result is an aromatic and creamy orange-red gravy that’s always a hit with anybody who tries it. This is truly one of the best paneer recipes ever!

Love Paneer? Try Paneer Butter Masala, Paneer Biryani, Paneer Chilli, Palak Paneer, Paneer Kathi Roll and Paneer Tikka

Thanks to its name, a lot of you might worry about the curry being too fatty. But that isn’t the case with this shahi paneer recipe. Made with a mixture of cashews and cream, the gravy is rich and creamy, but surprisingly light.  

• Delicious restaurant-style taste made using common pantry staples.
• A silky smooth and creamy gravy that is mostly spicy with a hint of sweetness.
• Made with cashews and cream, the gravy is rich and creamy, but surprisingly light.
• The gravy can be made ahead and stored in the fridge or even frozen to save time.
• This recipe is naturally gluten-free.
• The combination of whole spices makes the gravy highly aromatic and flavourful.
• Super soft and creamy paneer that’s made from malai for an extra touch of that shahi flavour.
• Perfect for those indulgent Sunday lunches and special occasions.

Ingredients for Shahi Paneer

Don’t be intimidated by the long list of ingredients for this recipe. It requires basic pantry staples you’ll most likely already find in your kitchen:

• Ghee, oil and butter: This recipe uses three types of fats at different stages of the cooking process to achieve that shahi texture and flavour. But don’t worry, this doesn’t make this recipe overpoweringly fatty.
• Spices: This recipe uses a mix of whole (cumin, green and black cardamom, cinnamon, cloves, peppercorn, bay leaf and green chillies) and ground spices (Kashmiri red chilli powder, coriander powder and turmeric powder) to achieve its bomb flavour.
• Onions and tomatoes: Used in a 1:2 ratio. Both of these are finely chopped and simmered along with a few nuts and spices to form the base for a rich and creamy gravy.
• Cashews: Simmered and blended with onions, tomatoes, and whole spices to form the base of the gravy. Adds a beautiful creaminess to the gravy while keeping it pretty light.
• Paneer: I prefer to use fresh, homemade paneer for that extra soft and creamy texture. Here’s my super easy and quick 15-minute homemade paneer recipe that you can try out. But if you don’t want to make it at home, store-bought paneer works perfectly well.
• Cream: This dish is topped off with a bit of cream to further add to the rich and creamy texture.
• Kasuri methi: Kasuri methi or dried fenugreek is the hero ingredient in most Indian curries. It is added towards the end of the cooking process to help bring out the flavours and add a touch of smoky flavour to the whole dish.
• Sugar: Helps balance out the sourness of the tomatoes without making the dish too sweet.

How to make Shahi Paneer

Here’s how to make Shahi Paneer easily at home

1. Saute jeera, whole spices and green chillies in hot oil in a pan for a minute or two till fragrant. The jeera should start spluttering

2. Add onions and ginger garlic paste and saute for 2-3 minutes

3. Add tomatoes, cashew nuts and water and simmer covered for 7-8 minutes

4. Remove the bayleaf and big cardamom and let this mixture cool completely

5. Once the mixture is completely cool, pour this into a blender, mixer grinder or food processor

6. Blend till smooth

7. Heat ghee and butter in a pan and add sugar. Cook the sugar till it starts to caramelise and turns light golden brown

8. Add ground spices and saute on low for a minute. Be careful not to burn the spices. You can add a splash of water to cool the pan slightly so the spices cook but don’t burn

9. Pour the onion, tomato and cashew mixture into the pan

10. Simmer covered for 10 minutes till you see some oil floating to the top

11. Add paneer and simmer for 2-3 minutes. Don’t overcook the paneer or it’ll start to get rubbery

12. Add roasted kasuri methi and cream and mix well. Turn off the flame, top with fresh coriander and another dash of cream and serve hot

Richa’s top tips to make the best shahi paneer

• Avoid using desi tomatoes for this recipe. Roma or hybrid tomatoes work best as they aren’t very sour or tangy.
• Use malai paneer for the softest and creamiest paneer.
• While cooking the ground spices, add a splash of water to prevent them from burning
• Overcooking the paneer makes it hard and chewy. Simmering it for just a couple of minutes should be more than enough.
• If making this dish ahead, just make the gravy. Add paneer when you reheat it just before serving to make sure that it remains soft and tender.
• To freeze, freeze the gravy without the cream and paneer. While using, simmer it straight from frozen on the stove, add cream and paneer, simmer and serve.

Even though shahi paneer is made with common pantry staples, the rich gravy, succulent paneer and the incredible flavours makes this one truly shahi. Serve it with some butter naan, roti or rice for a truly wholesome meal that you are unlikely to forget anytime soon! 

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