Kadai Paneer Recipe – Spicy & Flavorful Restaurant-Style Curry

Paneer lovers, rejoice! One of the most popular dishes in Indian restaurants is none other than Kadai Paneer – a spicy, tangy, and flavorful curry cooked with paneer (Indian cottage cheese), capsicum, onions, and a unique freshly ground spice mix called kadai masala.

Served with naan, roti, or jeera rice, this curry never fails to impress. The best part? You can recreate the authentic restaurant-style kadai paneer at home with simple ingredients.

🌶 What is Kadai Paneer?

The word kadai refers to a thick, deep cooking pan (similar to a wok) traditionally used in Indian kitchens. Kadai Paneer is a dish where paneer cubes and capsicum are tossed in a freshly made masala and cooked in a rich onion-tomato gravy.

The highlight of this dish is the aromatic kadai masala, made from roasted spices like coriander seeds, red chilies, and black pepper.

🧀 Ingredients for Kadai Paneer
For the Kadai Masala:

Coriander seeds – 2 tbsp

Dry red chilies – 3–4

Black peppercorns – ½ tsp

Cumin seeds – ½ tsp

Fennel seeds – ½ tsp

For the Curry:

Paneer – 250 g (cut into cubes)

Onion – 2 medium (1 finely chopped, 1 cubed)

Tomato – 2 medium (pureed)

Capsicum – 1 medium (cubed)

Ginger-garlic paste – 1 tbsp

Turmeric powder – ½ tsp

Red chili powder – 1 tsp

Garam masala – ½ tsp

Kasuri methi – 1 tsp (crushed)

Fresh cream – 2 tbsp (optional, for richness)

Salt – as per taste

Oil or ghee – 3 tbsp

Fresh coriander – for garnish

👩‍🍳 Step-by-Step Recipe
Step 1: Prepare the Kadai Masala

Dry roast coriander seeds, dry red chilies, cumin, fennel, and black pepper until fragrant. Cool and grind into a coarse powder. This is your kadai masala.

Step 2: Cook the Base

Heat oil in a kadai. Add chopped onions and sauté until golden. Add ginger-garlic paste and cook for a minute. Then add tomato puree, turmeric, red chili powder, and salt. Cook until oil separates.

Step 3: Add the Masala & Veggies

Mix in 2 tsp of kadai masala. Toss in cubed onions and capsicum, sauté for 2–3 minutes.

Step 4: Add Paneer

Add paneer cubes and gently mix with the masala. Adjust consistency with little water if required. Simmer for 5 minutes.

Step 5: Finish & Garnish

Sprinkle garam masala and crushed kasuri methi. Add a spoonful of cream for richness (optional). Garnish with coriander leaves and serve hot.

🌿 Pro Tips for Authentic Taste

Use fresh homemade paneer for best results.

Always prepare kadai masala fresh – it’s the soul of this dish.

Don’t overcook capsicum; it should remain slightly crunchy.

For a dhaba-style flavor, add a little butter while finishing the curry.

🍽 Serving Suggestions

Best enjoyed with butter naan, roti, or lachha paratha.

Pairs beautifully with jeera rice or peas pulao.

Serve with onion rings and lemon wedges for a complete restaurant feel.