Potato Paneer Recipe- Creamy Indian Curry with Cashew Paste

Last Updated on 6 months ago by Neha Deshmukh

Potato Paneer Recipe – Creamy Indian Curry with Cashew Paste

Introduction

There’s just something so comforting about a creamy, flavorful Indian curry, isn’t there? This Potato Paneer curry – aloo paneer as we call it back home – is one of those dishes that instantly feels like a warm hug. I first made this when I was craving something my mom used to make, and honestly, it’s become a regular in my kitchen ever since. The cashew paste adds a richness that’s just divine, and the blend of spices is perfectly balanced. It’s a little bit of effort, but trust me, it’s worth every single minute!

Why You’ll Love This Recipe

This Potato Paneer recipe isn’t just delicious; it’s also wonderfully versatile. It’s perfect for a weeknight dinner, a special occasion, or even a festive gathering. Here’s what makes it so special:

• Creamy & Rich: The cashew paste and cream create a luxuriously smooth texture.
• Flavorful Spice Blend: Aromatic spices like cardamom, cinnamon, and cloves add depth and warmth.
• Hearty & Filling: Potatoes and paneer make this a satisfying and complete meal.
• Relatively Easy: While it has a few steps, it’s totally achievable for home cooks of all levels.

Ingredients

Here’s what you’ll need to create this delicious Potato Paneer curry:

• 4 tsp oil
• 3 medium potatoes, cubed
• 16 paneer cubes
• 1 tbsp butter
• 1 bay leaf
• 3 cardamom pods
• 1 inch cinnamon stick
• 4 cloves
• 1 tsp kasuri methi (dried fenugreek leaves)
• 1 medium onion, finely chopped
• 1 tsp ginger-garlic paste
• ½ – 1 tsp turmeric powder (haldi)
• 1 tsp Kashmiri red chilli powder
• 1 tsp coriander powder (dhaniya powder)
• ½ – 1 tsp cumin powder (jeera powder)
• 1 ½ cup tomato puree
• 3 tbsp cashew paste
• 1 cup water
• 1 tsp salt (or to taste)
• 2 tbsp cream
• 2 tbsp grated paneer
• ½ tsp garam masala
• 2 tbsp chopped coriander (for garnish)

Ingredient Notes

Let’s talk about a few key ingredients to make sure you get the best results:

• Kasuri Methi: This dried fenugreek leaf has a unique, slightly bitter flavor that adds so much character to Indian dishes. You can find it at most Indian grocery stores. If you can’t find it, you can skip it, but it really does elevate the flavor!
• Kashmiri Red Chilli Powder: Don’t confuse this with regular chilli powder! Kashmiri chilli powder is known for its vibrant color and mild heat. It adds a beautiful red hue to the curry without making it overly spicy.
• Cashew Paste: This is the secret to the creamy texture. You can buy pre-made cashew paste, or easily make your own by soaking 1/2 cup of cashews in warm water for 30 minutes, then blending them into a smooth paste with a little fresh water. I usually make my own – it tastes so much fresher!
• Paneer: Use fresh, good-quality paneer for the best results. If using frozen paneer, thaw it completely and gently squeeze out any excess water.

Step-By-Step Instructions

Alright, let’s get cooking!

1. Heat the oil in a kadai (wok) or a deep pan over medium heat. Add the cubed potatoes and roast them until they’re golden brown. This takes about 8-10 minutes. Set them aside.
2. In the same oil, fry the paneer cubes until they’re lightly golden. Be gentle so they don’t crumble! Set those aside too.
3. Now, melt the butter in the same pan. Add the bay leaf, cardamom pods, cinnamon stick, cloves, and kasuri methi. Sauté for about 30 seconds, until fragrant. This is where the magic starts!
4. Add the chopped onion and ginger-garlic paste. Sauté until the onions turn golden brown – about 5-7 minutes. Patience is key here; nicely browned onions are the foundation of a great curry.
5. Mix in the turmeric powder, Kashmiri red chilli powder, coriander powder, and cumin powder. Cook for another 2 minutes, stirring constantly, so the spices don’t burn.
6. Pour in the tomato puree and cook until the oil starts to separate from the sides. This usually takes about 5-7 minutes. Stir in the cashew paste and cook for another minute.
7. Pour in the water and add the salt. Bring to a simmer and cook for 5 minutes, allowing the flavors to meld together.
8. Add the roasted potatoes and paneer to the curry. Cover and cook for 2 minutes, so they absorb all those lovely flavors.
9. Stir in the cream, grated paneer, and garam masala. Give it a good mix and garnish with chopped coriander.

Expert Tips

• Don’t overcrowd the pan when frying the potatoes and paneer. Work in batches if necessary.
• Adjust the amount of chilli powder to your spice preference.
• For a richer flavor, use full-fat cream.
• If the curry is too thick, add a little more water. If it’s too thin, simmer uncovered for a few more minutes.

Variations

• Vegan Adaptation: Substitute the paneer with firm tofu and the cream with coconut cream.
• Spice Level Adjustment: Add a pinch of cayenne pepper or a finely chopped green chilli for extra heat.
• Festival Adaptations: During Navratri or Diwali, you can add other vegetables like peas or carrots to make it even more festive. My grandmother always added a handful of peas!

Serving Suggestions

This Potato Paneer curry is best served hot with:

• Roti or chapati (Indian flatbreads)
• Steamed rice
• Naan bread
• A side of raita (yogurt dip)

Storage Instructions

• Leftovers can be stored in an airtight container in the refrigerator for up to 3 days.
• Reheat gently on the stovetop or in the microwave.
• You can also freeze the curry for up to 2 months.

FAQs

• What type of paneer is best for this recipe? Fresh, soft paneer is ideal. If using store-bought paneer, make sure it’s not too rubbery.
• Can I make the cashew paste at home? Absolutely! It’s easy and tastes much better. Just soak cashews in warm water and blend.
• How can I adjust the sweetness of the curry? If you prefer a less sweet curry, reduce the amount of cashew paste.
• What is Kasuri Methi and where can I find it? Kasuri Methi is dried fenugreek leaves. You can find it at Indian grocery stores or online.
• Can this curry be made ahead of time? Yes, you can make it a day ahead. The flavors actually develop even more overnight! Just reheat gently before serving.