Kadai Paneer (Restaurant Style)

ByKanan Patel Updated on
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Kadai paneer is one of the most loved North Indian curries made with paneer, bell peppers and onions in a spiced tomato-based gravy. This restaurant-style kadai paneer is bold, flavorful and always a hit with paratha, naan or jeera rice.

Today I tried your recipe and seriously it turned out to be the best dish ever made…for the first time my mom said its a 10/10 dish…thank you so much…looking forward for other Delicious recipes. ⭐⭐⭐⭐⭐
– Naina Tyagi

Kadai paneer served in a serving wok with onions, lime on side with napkin underneath.

About This Kadai Paneer Recipe

  • Meaning of the name: Kadai is the Hindi word for ‘Indian wok’ which is commonly used in everyday Indian cooking. So basically, any paneer dish made in a kadai is known as kadai paneer.
  • What makes it special? Unlike other paneer gravies, this one is not overly creamy or rich. Instead, it’s full of bold, spiced tomato flavors and chunky textures from sautéed onions and peppers.
  • Homemade kadai masala: I always make a quick homemade spice mix for the best flavor. It makes a huge difference!

Why you’ll love it:

  • It’s easy to make at home
  • Loaded with bold flavors from homemade kadai masala
  • Not too heavy, so perfect for everyday lunch or dinner
  • You get a nice balance of paneer, peppers, and a tomato-based masala

Ingredient Notes

Kadai Masala Ingredients

This is the heart of kadai paneer! It’s a unique, flavorful, and aromatic spice blend made with 6 different whole spices.

Ingredients used in kadai masala includes coriander seeds, dried chilies, cumin, fennel seeds, peppercorns, cardamoms.

You have a few options:

  1. Make a fresh batch each time (quantities are in the recipe card).
  2. Make a large batch and store it in a spice jar. I have shared the detailed post about kadai masala. It keeps well for 3–4 months and is perfect if you cook kadai-style dishes often (like kadai vegetable, kadai mushroom, kadai soya chaap, kadai bhindi, etc.).
  3. Use store-bought kadai paneer masala — this is convenient but my least favorite option in terms of flavor.

Kadai Paneer Gravy Ingredients

Here is the pic of the ingredients you’ll need to make the curry.

Ingredients used in kadai paneer includes masala, oil, onion, tomato, peppers, ginger, garlic, paneer, cream, salt.
    • Paneer: In the USA, paneer is available in the fridge or freezer section of Indian grocery stores. It won’t be as fresh as in India, but it works well. If you have time, homemade paneer is always best and easy to make.
    • Bell Peppers (Capsicum): They add crunch and a pop of color. I cook them until they’re about 80% done so they stay crisp-tender. If you prefer soft peppers, cook them a bit longer.
    • Tomatoes: Use ripe Roma tomatoes for the best flavor. Unripe or sour varieties (like beefsteak or vine-ripe) can make the gravy too tangy.
      Used two ways:
    • Finely chopped – adds texture and makes the gravy slightly chunky.
    • Pureed – adds body and richness to the sauce.
    • Garlic Paste: If you don’t have garlic paste, just grate 2 cloves using a small grater or Microplane zester.
    • Julienned Ginger: Instead of ginger paste at the start, we add ginger strips later (after tomatoes cook). This gives a fresh, bold flavor that stands out in the gravy.
    • Kashmiri Red Chili Powder: Kadai masala already adds a good amount of heat. Kashmiri chili powder is used mainly for its bright red color without making the gravy extra spicy.
    • Kasoori Methi (Dried Fenugreek Leaves): Crushed and added at the end, it gives a signature restaurant-style aroma and flavor to the gravy. Don’t skip it!
    • Heavy Cream: A small amount is added at the end to mellow the spices and it gives a touch of richness.

    How To Make Kadai Paneer? (Pics) 

    Making Kadai Masala:

    1. Dry roast whole spices (as listed in the recipe) in a pan over medium heat. Keep stirring constantly to prevent burning and roast until aromatic.
      Transfer to a plate and let the spices cool completely.
    2. Grind coarsely in a spice grinder or blender.
      👉 Don’t grind it into a fine powder — a slightly coarse texture gives that signature kadai flavor.
    Collage of 2 steps showing dry roasting spices and coarsely ground masala.

    Making Kadai Paneer Gravy:

    1. Heat oil in a kadai or pan over medium heat.
    2. Add finely chopped onions and sauté until they turn soft and translucent (light pink).
    3. Add garlic paste.
    4. And sauté for a minute until the raw smell disappears.
    Collage of 4 steps showing adding onion to oil, cooking, adding garlic paste and sautéing.
    1. Add chopped tomatoes and tomato puree, then sprinkle in salt.
    2. Mix and cook until the gravy thickens and oil starts to ooze from the sides.
      👉 This is a key step — it may take a few minutes, so be patient. It ensures the raw tomato taste is cooked out.
    3. Add kadai masala and stir well.
    4. Cook for another minute so the spices bloom in the hot tomato mixture.
    Collage of 4 steps showing adding tomatoes, cooked, adding masala, mixed.
    1. Add bell pepper (capsicum), julienned ginger, and hot water.
    2. Stir and simmer for about 5 minutes, or until the bell peppers are cooked about 80% (crisp-tender).
      👉 This keeps a slight crunch, which is classic for kadai paneer. If you prefer softer peppers, cook a bit longer.
    3. Add kasoori methi (crushed between your palms) and Kashmiri red chili powder.
    4. Add paneer cubes and gently stir.
    5. Let the curry simmer for just 1–2 minutes so the paneer heats through and absorbs flavors.
      👉 Do not overcook paneer or it may turn chewy.
    6. Stir in heavy cream and immediately turn off the heat once it starts to simmer.
    Collage of 6 steps showing adding peppers, ginger, simmering, adding spices, adding paneer, mixed, adding cream.

    Expert Tips

    • Remove seeds and stems from dried red chilies when making kadai masala.
      ➝ This helps reduce the spice level and avoids unnecessary heat in the body, which can upset digestion.
    • Want less spicy? Use Kashmiri dried chilies instead of regular ones for the masala.
      ➝ They give a deep red color without adding too much heat.
    • Always use fresh, ripe tomatoes.
      ➝ Unripe or under-ripe tomatoes can make the gravy sour and tangy.
    • Avoid canned tomato products.
      ➝ They tend to be more acidic and will make the gravy too sour for this recipe.
    • Gravy turned too sour?
      ➝ Add a small amount of sugar to balance the flavors.

    Serving Ideas

    Close up of kadai paneer in a serving wok with napkin underneath.

    Check Out More Restaurant Style Dishes

    Did you try this recipe? I’d love to hear about it! Leave a review in the comment section below. If you’re sharing it on your Instagram then don’t forget to tag me @spice.up.the.curry

    Kadai Paneer Recipe (Restaurant Style)

    4.69 from 16 votes
    Kadai paneer served in a serving wok with onions, lime on side with napkin underneath.
    Kadai paneer is one of the most loved North Indian curries made with paneer, bell peppers and onions in a spiced tomato-based gravy. This restaurant-style kadai paneer is bold, flavorful and always a hit with paratha, naan or jeera rice.
    Kanan
    Prep Time 15 minutes
    Cook Time 25 minutes
    Total Time 40 minutes
    Serving Size 3

    US measuring cups are used (1 cup = 240 ml)

    Ingredients

    For Kadai Masala:

    • 1 tablespoon Coriander seeds
    • 1 teaspoon Cumin seeds
    • 1 teaspoon Fennel seeds
    • 3 Black peppercorns
    • 2-3 Dried red chilies, seeds and stems removed (See notes)

    For Kadai Paneer Gravy:

    • 2 tablespoons Oil
    • ½ cup Onion, finely chopped
    • 1 tablespoon Garlic paste or freshly grated
    • 2 cups Tomatoes, finely chopped (Preferably roma tomatoes)
    • 1 Tomato, pureed into the grinder
    • Salt, to taste
    • 1 ½ to 2 tablespoons Kadai masala, Or use above freshly ground masala.
    • 1 cup Capsicum (Green bell pepper), cut into 1 inch cubes
    • ½ inch Ginger, julienned
    • 1 cup Water
    • 7 oz (200 grams) Paneer, cut into cubes
    • 1 teaspoon Kasoori methi (Dried fenugreek leaves), crushed between your palm before adding
    • ½ teaspoon Kashmiri red chili powder
    • 3 tablespoons Heavy whipping cream or fresh cream or malai

    Instructions

    Make Kadai Masala:

    • Dry roast whole spices (as listed in the recipe) in a pan over medium heat. Keep stirring constantly to prevent burning and roast until aromatic.
    • Transfer to a plate and let the spices cool completely.
    • Grind coarsely in a spice grinder or blender.

    Make Gravy:

    • Heat oil in a kadai or pan over medium heat. Add finely chopped onions and sauté until they turn soft and translucent (light pink).
    • Add garlic paste. And sauté for a minute until the raw smell disappears.
    • Add chopped tomatoes and tomato puree, then sprinkle in salt. Mix and cook until the gravy thickens and oil starts to ooze from the sides.
      👉 This is a key step — it may take a few minutes, so be patient. It ensures the raw tomato taste is cooked out.
    • Add kadai masala and stir well. Cook for another minute so the spices bloom in the hot tomato mixture.
    • Add bell pepper (capsicum), julienned ginger, and hot water. Stir and simmer for about 5 minutes, or until the bell peppers are cooked about 80% (crisp-tender).
    • Add kasoori methi (crushed between your palms) and Kashmiri red chili powder.
    • Add paneer cubes and gently stir. Let the curry simmer for just 1–2 minutes so the paneer heats through and absorbs flavors.
    • Stir in heavy cream and immediately turn off the heat once it starts to simmer.

    Video

    Notes

    • Remove seeds and stems from dried red chilies when making kadai masala. This helps reduce the spice level and avoids unnecessary heat in the body, which can upset digestion.
    • Want less spicy? Use Kashmiri dried chilies instead of regular ones for the masala. They give a deep red color without adding too much heat.
    • Always use fresh, ripe tomatoes. Unripe or under-ripe tomatoes can make the gravy sour and tangy.
    • Avoid canned tomato products. They tend to be more acidic and will make the gravy too sour for this recipe.
    •  

    Nutrition

    Calories: 399kcal (20%) | Carbohydrates: 17g (6%) | Protein: 13g (26%) | Fat: 33g (51%) | Saturated Fat: 14g (70%) | Trans Fat: 1g | Cholesterol: 64mg (21%) | Sodium: 47mg (2%) | Potassium: 682mg (19%) | Fiber: 5g (20%) | Sugar: 8g (9%) | Vitamin A: 2257IU (45%) | Vitamin C: 71mg (86%) | Calcium: 393mg (39%) | Iron: 2mg (11%)
    Kanan Patel

    To understand the art and science of cooking, I’ve read many cookbooks and culinary books—and now I’m sharing all that experience with you. I started this blog in 2012 to share reliable vegetarian, Indian, and eggless baking recipes (with step-by-step photos and videos) that you can count on.

    4.69 from 16 votes (3 ratings without comment)

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