Cut the paneer blocks into 1-inch triangles to give your shahi paneer a special look! Set them aside. Thinly slice the onions and chop tomatoes roughly & deseed them.
Peel and chop the ginger and a couple of green chillies. Slit the remaining green chillies lengthwise and set aside.
Now in a pressure cooker add about 3 tablespoons of oil and 1 tablespoon of butter.
Once the butter melts, add all the whole spices - dry red chillies, cumin seeds, bay leaf, black peppercorns, cinnamon, green & black cardamoms and cloves.
Let the spices become fragrant in the oil & butter for a few seconds. Then add the sliced onion and sauté for 2 minutes on medium flame.
Next add chopped tomatoes, chopped green chillies, ginger, garlic, coriander stems and about half a tablespoon of salt.
Give everything a good stir and cook for a couple of minutes on medium flame. Next add the cashew nuts and give a good stir.
Continue sautéing everything for about 10 minutes on medium flame until tomatoes become mushy and onions are translucent.
Now add hot water to the cooker and pressure cook on high for 1 whistle. Switch off the flame and let the pressure release on its own.
When the cooker is completely cooled and pressure is released, remove the lid and discard the bay leaf, black cardamom & cinnamon.
Transfer onion tomato mixture to a large bowl and let it cool down completely before blending. Cooling down the mixture is mandatory before blending them in a blender.
Now transfer the onion tomato gravy base to a blender along with the liquid and blend well to make fine puree. Be patient at this stage as whole spices take time to break down.
To give your shahi paneer the premium restaurant style look, strain the puree using a sieve. Save the strained puree and discard any fibrous remains.
Before starting to make the shahi paneer gravy, first mix all the powdered spices, turmeric, coriander, cumin & 2 teaspoons of Kashmiri red chilli powder, with the curd in a bowl by whisking well until the curd is smooth & lump-free.
Now heat a kadai or large pan and add remaining oil & butter. Once the butter melts, add remaining slit green chillies and remaining 1 teaspoon of Kashmiri red chilli powder.
Give a stir and lower the flame to minimum. Then pour the prepared curd & spice mixture to the kadai, stirring continuously.
Let the curd & spices cook on low flame until oil starts to release; keep stirring to avoid the spices sticking to the bottom.
At this stage, pour the prepared onion tomato puree into the kadai. Add about a cup of hot water and give a good stir to mix everything evenly.
Add honey and mix well. Then do a taste test and add salt as per taste. Continue cooking the gravy on low flame for about 5 minutes until it comes to a simmer.
It’s time to add the paneer cubes. Slowly drop the paneer cubes into the shahi paneer gravy and using a rubber or silicone spatula give a gentle stir so that the soft cubes of paneer do not break.
Let the shahi paneer gravy come to a boil on high flame. Then lower the flame and add the fresh cream & kasuri methi. Give a good stir.
Now cover the kadai and let the paneer gravy simmer on lowest flame for at least 6 to 7 minutes allowing the paneer cubes to absorb all the flavors.
The gravy will also thicken while simmering. Uncover the kadai after about 7 minutes; oil must have started to surface on top.
Finish off the shahi paneer by sprinkling garam masala and a handful of freshly chopped coriander leaves.
Give a final stir and switch off the flame. Your restaurant style shahi paneer is ready!
Transfer to a large serving bowl and garnish with a little more freshly chopped coriander leaves & a swirl of fresh cream.
Serve the delicious royal paneer with tandoori roti or any Indian bread of your choice! Enjoy!
Recipe by Flavor Quotient at https://flavorquotient.com/2025/06/restaurant-style-shahi-paneer-recipe/