This rich and creamy Shahi Paneer is an authentic Indian curry that brings the royal flavors of Mughal kitchens to your home. With a silky cashew-based gravy, aromatic spices, and perfectly fried paneer, this dish offers a luxurious dining experience. The step-by-step process results in a restaurant-quality dish with simple, easily available ingredients.

Shahi Paneer Recipe

Why You’ll Love This Recipe

Shahi Paneer is a traditional Indian dish that combines the richness of fried paneer with a decadent, creamy, and flavorful gravy. The blend of aromatic spices, caramelized onions, and cashew cream base creates a luxurious dish that’s perfect for special occasions or when you simply want to enjoy a comforting, restaurant-style meal at home. Whether you’re serving it with naan, rice, or a side of vegetables, this dish is sure to impress!

Ingredients

For the Paneer:

1 lb fresh paneer, cut into 1-inch cubes
2 tablespoons ghee or oil for frying

For the Gravy Base:

1/3 cup raw cashews
2 large yellow onions, thinly sliced (about 3 cups)
3 tablespoons ghee or oil
1 tablespoon fresh ginger-garlic paste
2 bay leaves
1 teaspoon cumin seeds

Spice Blend:

1 teaspoon Kashmiri red chili powder (or paprika for mild)
1/2 teaspoon turmeric powder
1 tablespoon coriander powder
1 teaspoon garam masala powder
1/2 teaspoon cardamom powder

Final Touch:

1/2 cup tomato puree
1/2 cup heavy cream
1 teaspoon sugar
1 teaspoon salt (or to taste)
Fresh cilantro for garnish

Instructions

1. Prep the Cashews:

Soak the cashews in 1 cup hot water for 20 minutes to soften them. This will create a silky smooth base for the gravy.

2. Fry the Paneer:

Heat 2 tablespoons ghee in a large pan over medium heat. Lightly fry the paneer cubes until golden on all sides, about 3-4 minutes. Remove from the pan and set aside. (This step ensures the paneer doesn’t become mushy when added to the gravy.)

3. Caramelize the Onions:

In the same pan, add 3 tablespoons ghee and the sliced onions. Cook for 12-15 minutes, stirring occasionally, until the onions turn deep golden brown. This step adds a natural sweetness that balances the spices.

4. Build the Aromatics:

Add the bay leaves, cumin seeds, and ginger-garlic paste. Cook for 2 minutes until fragrant. Then add all the spices and cook for another minute. The kitchen will smell incredible during this step!

5. Create the Creamy Base:

Drain the cashews and blend them with the cooked onion mixture and 1/2 cup of water until smooth. If needed, blend longer to get a silky texture.

6. Make the Gravy:

Pour the cashew mixture back into the pan. Add the tomato puree and simmer for 8-10 minutes until the gravy thickens and coats the back of a spoon. Add salt and sugar to taste.

7. Finish with Luxury:

Stir in the heavy cream and gently add the fried paneer. Let everything simmer for 3-4 minutes to heat through. Taste and adjust seasoning if needed.

Nutrition Information (Per Serving):

Calories: 485
Carbohydrates: 18g
Protein: 22g
Fat: 38g
Fiber: 3g
Sodium: 580mg
Calcium: 45% DV (from paneer)
Vitamin C: 15% DV

Storage Tips:

Refrigerator: Keeps beautifully for 4 days when covered. Reheat gently on the stovetop with a splash of cream to maintain the creamy texture.
Freezing: This dish doesn’t freeze well because the cream separates, and the paneer can become rubbery. It’s best enjoyed fresh.

Serving Suggestions:

Classic Pairing: Serve with warm naan or basmati rice for a traditional Indian meal.
Restaurant Style: Garnish with a swirl of cream and fresh cilantro.
Complete Meal: Add dal and seasonal vegetables for a traditional thali experience.
Modern Twist: Try it with quinoa or cauliflower rice for a lighter, healthier option.

Mix It Up (Recipe Variations):

Nutty Shahi Paneer: Add slivered almonds and golden raisins to the gravy for extra royal treatment.
Saffron Shahi Paneer: Soak a pinch of saffron in warm milk and add it during the final step for a luxurious flavor.
Lighter Version: Swap heavy cream for Greek yogurt, adding gradually to avoid curdling.
Vegan Shahi Paneer: Use extra-firm tofu instead of paneer and coconut cream instead of dairy.

What Makes This Recipe Special:

Shahi Paneer captures the rich, layered flavors of Mughlai cuisine. The slow caramelization of onions and the addition of cashew cream creates a truly luxurious gravy, while the spices bring a depth of flavor that’s perfect for special occasions or when you simply want to indulge in a comforting meal. This authentic dish is a perfect example of how slow, careful cooking can turn simple ingredients into something extraordinary.