Recipe to Make Paneer Butter Masala: North Indian Creamy Curry with Spiced Tomato Gravy

This North Indian classic delivers creamy richness with every bite, thanks to a velvety tomato gravy and tender paneer cubes. The secret lies in slow-cooking the sauce to develop depth of flavor.

I’ve perfected the balance of spices and cream to ensure a smooth, luxurious texture that’s true to traditional recipes. It’s comfort food at its finest, ready in under an hour.

Ingredients for Recipe to Make Paneer Butter Masala

Velvety tomato gravy and tender paneer cubes come together for this North Indian classic.

The paneer is non-negotiable here. Indian grocery stores carry the freshest blocks—look for firm, white cubes without any yellowing. If you’re making it at home, whole milk yields the best texture. For the tomatoes, San Marzano are ideal, but any ripe variety works. The cashews add a subtle richness, so don’t skip them (even if they’re pricey at Whole Foods).

No Kashmiri chili? Paprika plus a pinch of cayenne gets you close. Fresh out of garam masala? Equal parts cumin, cardamom, and cinnamon works in a pinch. The cream can be swapped for coconut milk if you’re avoiding dairy, but the flavor will shift slightly. For the butter, ghee adds even more depth (available at Trader Joe’s or any Indian market).

Paneer keeps submerged in water for up to 3 days. The sauce actually improves overnight as flavors meld. Leftovers freeze well for up to 3 months—just thaw and reheat gently to avoid curdling the cream.

Step-by-Step Instructions for Paneer Butter Masala

Here’s the method. Straightforward, tested, works every time.

Step 1: Prepare the Creamy Tomato Base

Soak the 0.25 cup Cashew Nuts in hot water for 15 minutes, then blend with the 6 whole Tomatoes until smooth. This creates the silky foundation for your gravy.

In a heavy-bottomed pan, melt 2 tbsp Unsalted Butter over medium heat. Add the finely chopped 1 whole Onion and sauté until golden brown—about 6-8 minutes. This builds the sweet, caramelized base flavor that defines this dish.

Step 2: Build the Spice Foundation

Add the minced 4 cloves Garlic Cloves and 1 tbsp Fresh Ginger to the onions. Sauté for 1-2 minutes until fragrant. Then stir in the 1 tsp Ground Cumin, 1 tsp Ground Coriander, 0.5 tsp Turmeric, and 1 tsp Kashmiri Red Chili Powder.

Cook the spices for 30-45 seconds until they release their aromas—you’ll notice the mixture darken slightly. This blooms the spices and eliminates any raw taste. Immediately add the tomato-cashew puree to prevent burning.

Step 3: Simmer and Finish the Gravy

Pour the puree into the pan and add the remaining 2 tbsp Unsalted Butter and 1 tsp Salt. Simmer on medium-low heat for 10-12 minutes, stirring occasionally, until the mixture thickens and the oil separates slightly at the edges.

This is when you’ll see the gravy transform from watery to rich and velvety. Stir in the 1.5 tsp Garam Masala at this stage—it adds depth without overpowering the other spices. Reduce heat to low.

Step 4: Add Paneer and Cream

Gently fold in the cubed 1 lb Paneer and 1 cup Heavy Cream. Simmer for 3-4 minutes until the paneer absorbs the flavors and warms through. Avoid boiling vigorously—this prevents the cream from curdling.

The paneer should become tender but retain its shape. Taste and adjust salt if needed, remembering that the cream mellows the spices slightly.

Step 5: Garnish and Serve

Remove from heat and let the curry rest for 2 minutes. This allows the flavors to meld completely. Garnish with the chopped 0.25 cup Fresh Cilantro just before serving.

The final dish should have a vibrant orange-red color from the Kashmiri chili, with a glossy, creamy texture that coats the paneer beautifully. Serve warm with naan or steamed rice to soak up every bit of the rich gravy.

Best Sauces and Condiments for This Dish

Classic Pairings

I always serve this with warm, buttery naan bread to soak up the creamy gravy. For a lighter option, steamed basmati rice works beautifully—1 cup rice cooks perfectly with 2 cups water. The mild, fluffy texture balances the rich tomato sauce. 💛

Fresh Accompaniments

A cooling cucumber raita cuts through the richness. I mix 1 cup yogurt with ½ cup grated cucumber, a pinch of cumin, and fresh mint. The acidity refreshes your palate between bites.

Spicy Condiments

For heat lovers, a side of green chutney adds a vibrant kick. Blend 1 cup cilantro with 1 green chili, 1 tbsp lemon juice, and ¼ tsp salt. Drizzle over the dish just before eating.

Pickled Extras

Indian pickles like mango achar or lime pickle add a tangy contrast. I recommend Patak’s brand for authentic flavor. Just 1-2 tbsp on the side enhances the meal without overpowering it.

Beverage Match

A cold lassi (sweet or salty) complements the spices perfectly. For a non-dairy option, mango juice or chilled masala chai works wonders. These drinks cleanse your palate between each delicious bite. ✨

Frequently Asked Questions