A rich, aromatic, restaurant-style paneer curry made with freshly ground spices
Kadai Paneer is one of the most popular North Indian paneer dishes, loved for its bold flavors, vibrant gravy, and aromatic spices. Made using freshly ground whole spices—called kadai masala—this Punjabi classic tastes exactly like the one served at dhabas and restaurants.
In this recipe, we prepare:
✔ a fresh kadai masala,
✔ a smooth restaurant-style tomato–onion gravy,
✔ sautéed capsicum, onion, and paneer cubes,
✔ and finally combine everything into a rich, creamy, flavorful curry.
This version is authentic, flavorful, and incredibly tempting—the type you get in hotels but easily made at home. Whether you’re cooking for guests or craving a special dinner, this Kadai Paneer will definitely impress.
Let’s get started!
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Ingredients
For the Kadai Masala (Whole Spice Blend)
- Dry red chilies – 2
- Peppercorns – 6
- Cumin seeds – 1 tsp
- Fennel seeds – ¼ tsp
- Coriander seeds – 1 tsp
- Bay leaf – 1
- Green cardamom – 2
- Clove – 1
For the Gravy
- Oil – 3 to 4 tbsp
- Onion – 1 (roughly chopped)
- Tomatoes – 2 (roughly chopped)
- Ginger-garlic paste – 1 tbsp
- Cashews – 5
- Salt – ½ tsp (for boiling gravy mixture)
- Kashmiri red chili powder – 2 tsp
- Coriander powder – 1 tsp
- Cumin powder – 1 tsp
- Turmeric – ¼ tsp
- Kitchen king masala – 1 tsp
- Paneer – 250 g (cut into cubes)
- Green capsicum – 1 (cubed)
- Onion – 1 (cubed)
- Salt – to taste
- Sugar – ¼ tsp
- Kasuri methi – ½ tsp
- Fresh cream – 1 tbsp
- Oil for sautéing
How to Make Dhaba-Style Kadai Paneer (Step-by-Step)
Step 1: Prepare the Whole Spice Masala
- Heat 1 tsp oil in a pan.
- Add dry red chilies, peppercorns, cumin seeds, fennel seeds, coriander seeds, bay leaf, cardamom, and clove.
- Roast for 2–3 minutes on low flame until fragrant. This is the base of classic kadai flavor.
Step 2: Make the Restaurant-Style Tomato–Onion Base
- Add 1 chopped onion to the roasted spices and sauté for a minute.
- Add 2 chopped tomatoes and cook on medium flame.
- Add 1 tbsp ginger-garlic paste.
- Add 5 cashews (this gives richness and thickness).
- Add ½ tsp salt and mix.
- Cover and cook for 9–10 minutes on low flame until everything turns soft. Let this mixture cool down completely.
Step 3: Blend the Gravy Smooth
- Transfer the cooled mixture to a blender.
- Add a little water and grind into a smooth paste.
- Strain the gravy using a sieve to remove whole spices and tomato skin. This makes the gravy perfectly silky and restaurant-style.
Step 4: Prepare the Masala Paste
- In a small bowl mix: 2 tsp Kashmiri red chili powder, 1 tsp coriander powder, 1 tsp cumin powder, ¼ tsp turmeric, 1 tsp kitchen king masala, 2–3 tbsp water. Mix to form a smooth paste.
- This technique prevents masalas from burning and gives a deeper flavor.
Step 5: Cook the Masala
- Heat 2–3 tbsp oil or ghee in a kadai.
- Add the prepared masala paste.
- Cook on low flame for 2–3 minutes until oil separates. This step brings out restaurant-style flavor.
Step 6: Add the Blended Gravy
- Pour the smooth tomato–onion–cashew gravy into the kadai.
- Mix well and cook for 4–5 minutes on low flame until oil appears on top. You now have the classic dhaba-style red gravy.
Step 7: Fry Vegetables
- In another pan, add a little oil.
- Lightly fry cubed onions until translucent (not fully browned).
- Lightly fry capsicum for 1 minute. It should remain crisp and green—not mushy.
- Lightly fry paneer cubes until slightly golden. Do NOT over-fry; paneer becomes hard. Keep these aside.
Step 8: Assemble the Kadai Paneer
- Check our gravy; add ½ cup water to adjust consistency.
- Add ¼ tsp sugar, ½ tsp salt (adjust to taste), ½ tsp kasuri methi
- Mix and cook for 2 minutes.
- Add fried onions and capsicum; cook 2–3 minutes.
- Add 1 tbsp fresh cream (optional but recommended).
- Add the paneer cubes and mix gently.
- Cover and cook for 2–3 minutes on low flame.
- After 2 – 3 minutes, Now turn off the flame, our rich, creamy, aromatic Kadai Paneer is ready! Garnish with fresh coriander leaves and a drizzle of fresh cream..
our delicious Dhaba-Style Kadai Paneer is ready! Serve hot with Butter naan, Tandoori roti, Garlic naan, Jeera rice, Lachha paratha…
Fragrant, spicy, rich, and absolutely irresistible—just like the one you order at restaurants. Make it for lunch, dinner, festivals, guests, or weekend meals—everyone will love it!
If this recipe made your mouth water, try it today and enjoy the real taste of Punjabi cuisine right at home.
Tips and Tricks for Perfect Restaurant-Style Kadai Paneer
✔ Use freshly roasted whole spices
This gives the unique kadai aroma and restaurant flavor.
✔ Don’t over-fry paneer
It becomes tough. A light sear is enough.
✔ Always add capsicum at the end
It should stay crisp and green—not overcooked.
✔ Strain the gravy
This creates the silky hotel-style texture.
✔ Add cream to balance spice
It beautifully smooths out the flavors.
✔ Let paneer simmer in gravy
Paneer absorbs the masalas and becomes soft and flavorful.
