Experience the ultimate Punjabi-style Shahi Paneer recipe—an irresistibly rich, creamy, and aromatic paneer gravy bursting with royal flavors and restaurant-quality finesse, perfect for transforming your everyday meal into a luxurious feast that will quickly become your all-time favorite homemade paneer delight.
You’ll Love This Recipe Because
This homemade Punjabi Shahi Paneer is an absolute game-changer—far more flavorful, aromatic, and satisfying than what you typically find at restaurants.
The word ‘Shahi’ translates to ‘Royal’, and true to its name, this dish is a rich, indulgent, and celebratory main course that’s perfect for those special occasions—whether it’s a festive family gathering, a guest dinner, or simply a weekend treat to pamper yourself with something luxurious. Its creamy texture, subtle sweetness, and bold spices come together in perfect harmony to create an unforgettable experience on the plate.
One of the best parts? You can prepare it in advance and simply reheat it before serving, making it an ideal make-ahead option that doesn’t compromise on taste or texture.
Flavor-wise, this version delivers a balanced medium-spicy kick, enhanced with a touch of sweetness that makes every bite irresistibly delicious.
A Glimpse Into History:
Shahi Paneer finds its origins in the opulent kitchens of Mughlai cuisine, known for its regal dishes often prepared for emperors and nobility. The traditional Mughlai version features a silky white gravy crafted from onions, yogurt, and a blend of rich ingredients like cashews, saffron, and whole spices. Unlike North Indian gravies, it avoids tomatoes and uses minimal powdered spices, resulting in a mild yet deeply flavorful profile.
I’ve also shared a classic Mughlai-style paneer recipe that stays true to those roots.
The Punjabi Twist:
What sets this version apart is its vibrant transformation through Punjabi culinary influence. While inspired by its Mughlai predecessor, Punjabi Shahi Paneer introduces bold spices, juicy tomatoes, and a touch more heat to create a heartier, more rustic gravy. The result is a luscious, orange-red sauce packed with complex layers of flavor—earthy, spicy, tangy, and sweet all at once—signature traits of Punjabi cuisine.
Saffron and aromatic herbs still make an appearance, honoring the dish’s royal heritage, but the addition of tomatoes and spice powders gives it that beloved restaurant-style appeal with a homestyle soul.
Once you try this Punjabi Shahi Paneer, there’s no going back—it’s guaranteed to become a treasured favorite in your kitchen repertoire.
Ingredient Notes
Here’s a breakdown of the ingredients used in this restaurant-style Punjabi Shahi Paneer. (Note: Sugar is also used but not shown in the photo. It adds a subtle sweetness to balance the spices.) All ingredients are easily available at any Indian grocery store.
- Paneer: The hero of this dish. While I occasionally make homemade paneer, store-bought works well for convenience. If using store-bought, cut into cubes and soak in warm water for 10–15 minutes to make it soft and spongy.
- Ghee: Adds a rich, traditional flavor. You may use oil, but ghee offers unmatched depth. Unsalted butter is the closest substitute if ghee isn’t available.
- Cashew Nuts: Blended into the gravy to create a creamy, nutty texture. They give the sauce richness and a touch of natural sweetness.
- Whole Spices – Cloves, Cinnamon, Green Cardamom: Boiled with onions to infuse deep aroma. Do not discard—grind them along with the onions into a smooth paste for maximum flavor.
- Red Onion: Forms the base of the gravy. Red onions are ideal for Indian cooking due to their slightly sweet and sharp taste.
- Cardamom Powder: Adds a fragrant finish. Stir it in at the very end and avoid boiling afterward to preserve its delicate aroma.
- Saffron: Soaked in warm cream before adding to the gravy. This enhances both color and aroma, giving it a regal touch.
How To Make Shahi Paneer?
1) Put the cashew nuts in hot water and let them splash for around 15 to 20 minutes. This softens them and helps produce a smooth, delicate paste that adds body and uproariousness to the gravy.
2) Warm up the heavy cream in the microwave oven for many seconds. Take many saffron beaches, crush them, and add them to the warm cream. Mix and keep it away. As it sits, saffron slowly imparts the cream with its wealthy color and particular smell. Allowing it to steep early ensures it fully releases its golden hue and flavor by the time it’s used.
3) “Include the onion, ghee, garlic, green chili, cloves, cinnamon, and cardamom in a pan. Pour in about 1/3 of a mug of water, then set the heat to medium. Let it cook for 8 – 10 minutes or until the onions soften. Let it cool down. Stewing these together helps blend all the flavors while softening the aromatics, creating the base for a rich and scrumptious paste.
4) Prepare three different purees in this sequence: start by making a cashew paste, then blend the cooked onions into a smooth paste, and finally, process the roughly chopped tomatoes into a puree. Blending in this order ensures smooth processing. Use minimum water to keep the thickness thick and delicate.
5) Toast the ghee in a pan on medium heat. Formerly briskly, add the set onion paste. Ghee adds depth and aroma — sautéing the onion paste in it intensifies the flavor beautifully.
6) Cook with stirring sometimes till it thickens. It may take around 5 – 6 twinkles. Keep stirring to help prevent sticking or burning; the paste will reduce and consolidate in color and flavor.
7) Now add tomato puree and sauté. This adds acidity and balance. The swab helps break down the tomatoes as they cook.
8) Mix, cook until all the humidity is faded and it becomes a thick paste. So stir in between and make sure that it isn’t sticking to the sides and bottom of the pan. However, you can also incompletely cover the visage if it’s foaming too much. Let the gravy cook down until the oil painting begins to separate — this indicates it’s well-cooked. Stir frequently to help scorch.
9) Now add red chili greasepaint, coriander greasepaint, and black pepper greasepaint. Mix well and cook for a nanosecond. This step toasts the spices slightly, releasing their full flavor into the gravy.
10) Stir in the cashew paste, water, and sugar. The cashew paste adds a creamy, nutty richness to the curry, the sugar counteracts the spices, and a bit of water adjusts the consistency to your liking.
11) Poach for 5 – 6 twinkles. Do stir in between. Let the flavors blend over gentle heat. The gravy will cake and come lustrous as it culinarians.
12) Next, sprinkle in the garam masala and crush the kasoori methi between your fingers before adding it to the dish. Mix well. These spices give that authentic eatery-style Punjabi flavor and aroma. Crushing kasoori methi enhances its scent.
13) Add paneer cells. Mix and poach for 1 – 2 twirls. Let the paneer absorb the scrumptious gravy. Stir carefully to prevent damaging the cell structure.
14) Now add saffron-cream admixture. Mix and let it come to a poach. This gives the dish a royal finish, both in flavor and visual appeal.
15) Incipiently, add cardamom greasepaint and turn off the cookstove. Cardamom greasepaint is delicate; adding it at the end preserves its scent without letting it dematerialize.
16) Stir well, and it’s ready to serve. Your rich, delicate, sweet Punjabi Shahi Paneer is now ready to enjoy with naan, paratha, or rice.
Expert Tips To Make BEST Shahi Paneer
- Avoid simmering the dish for too long after adding the paneer pieces, as extended cooking can cause the paneer to become tough and rubbery instead of soft and tender. Paneer is delicate and absorbs flavors quickly, so it only needs to be gently warmed through. Overcooking changes its texture and makes it less enjoyable to eat. To keep the paneer soft, add it near the end and allow just enough time for it to soak up the curry’s flavors.
- If you plan to prepare the curry ahead of time for guests, it’s best to wait to add the paneer and cardamom powder until just before serving. This helps keep the paneer tender and prevents it from becoming rubbery. When warming the dish again, add these ingredients at the very end, stirring gently to mix them in. The cardamom powder is very aromatic and can lose its fragrance and flavor if cooked too long, so adding it at the end preserves its fresh, vibrant aroma.
- Crushing releases the herb’s natural oils and maximizes its flavor contribution. Kasoori methi adds a unique earthy bitterness that balances the richness of the curry, and crushing the leaves helps infuse the dish with their full aroma and taste.
- In humid climates, kasoori methi can absorb moisture from the air, making it difficult to crush and potentially dulling its flavor. If this happens, toast the kasoori methi lightly in the microwave or on a dry pan for about 45 seconds to dry it out. Let it cool completely before crushing. Toasting restores the crispness and intensifies the aroma of the leaves, ensuring the best flavor in your dish.
- To maintain the freshness of kasoori methi and other dried herbs, store them in airtight containers away from sunlight and humidity.
Serving Idea For Shahi Paneer:
- Serve the rich and creamy shahi paneer alongside warm garlic naan, soft tandoori roti, or flaky laccha paratha for a delightful combination.
- Complement the meal with a refreshing Indian onion salad, known as pyaaz lachha, which adds a crisp, tangy contrast to the creamy curry.
- Accompany the dish with a chilled glass of salted lassi to balance the spices and provide a cooling effect.
- Alternatively, if you prefer a lighter option, this flavorful gravy pairs wonderfully with simple steamed basmati rice or aromatic jeera (cumin) rice, allowing the curry’s richness to shine through.