Paneer Chili Recipe- Crispy Paneer in Schezwan Sauce

Last Updated on 4 months by Neha Deshmukh

Paneer Chili Recipe – Crispy Paneer in Schezwan Sauce

Hey everyone! If you’re anything like me, you absolutely love a good Indo-Chinese dish. There’s just something so satisfying about that sweet, spicy, and tangy flavor combination. Today, I’m sharing my go-to recipe for Paneer Chili – crispy, golden paneer tossed in a vibrant Schezwan sauce. I first made this for a potluck with friends, and it disappeared in minutes! It’s become a regular request ever since.

Why You’ll Love This Recipe

This Paneer Chili recipe is a winner for so many reasons. It’s relatively quick to make – perfect for a weeknight dinner or a weekend appetizer. The paneer gets wonderfully crispy, and the Schezwan sauce is bursting with flavor. Plus, it’s easily customizable to your spice preference. Honestly, what’s not to love?

Ingredients

Here’s what you’ll need to whip up this deliciousness:

• 2 tablespoon corn starch
• 2 tablespoon all-purpose flour
• 1/4 teaspoon salt
• 1/8 teaspoon black pepper
• 1/8 teaspoon Kashmiri red chili powder
• 200 grams paneer, cut into 1-inch cubes
• Oil, for frying
• 2 tablespoons oil
• 3/4 tablespoon ginger, minced
• 3/4 tablespoon garlic, minced
• 1 tablespoon celery, finely chopped
• 2 dried red chilies
• 1/4 cup onion, diced
• 1/4 cup green bell pepper, diced
• 3 tablespoons Schezwan chutney
• 1 teaspoon tomato ketchup
• 1 teaspoon soy sauce
• 1/2 teaspoon white vinegar
• 1 tablespoon water

Ingredient Notes

Let’s talk ingredients for a sec! A few things can really elevate this dish:

• Schezwan Chutney: You can use store-bought, and there are some great options available. But if you’re feeling ambitious, homemade Schezwan chutney is amazing. It really takes the flavor to the next level.
• Kashmiri Red Chili Powder: Don’t skip this! It adds a beautiful vibrant red color without adding a ton of heat. It’s all about the look, you know?
• Paneer: I prefer using fresh paneer for this recipe. It holds its shape better during frying. If you’re using frozen, make sure to thaw it completely and gently squeeze out any excess water before using.

Step-By-Step Instructions

Alright, let’s get cooking!

1. First, let’s prepare the paneer batter. In a bowl, whisk together the cornstarch, flour, salt, pepper, and Kashmiri red chili powder. Slowly add water, mixing until you have a thick, smooth batter. It should coat the back of a spoon nicely.
2. Now, gently coat each paneer cube evenly in the batter. Make sure they’re fully covered – this is what gives them that amazing crispiness.
3. Heat enough oil in a kadai or wok for deep frying. Once hot (test with a tiny drop of batter – it should sizzle!), carefully fry the paneer in batches for about 3 minutes, or until golden brown and crispy. Drain on paper towels to remove excess oil.
4. Time for the sauce! Heat 2 tablespoons of oil in a pan. Add the minced ginger, garlic, celery, and dried red chilies. Sauté for 1-2 minutes, until fragrant.
5. Add the diced onions and bell peppers. Cook for another 2 minutes, until they start to soften but still have a little bite.
6. Now for the flavor bomb! Stir in the Schezwan chutney, ketchup, soy sauce, vinegar, and water. Give it a good stir and let it simmer for a minute or two.
7. Finally, add the fried paneer to the sauce. Toss gently to coat everything evenly. Garnish with a sprinkle of chaat masala and some chopped spring onions. Serve immediately and enjoy!

Expert Tips

• Don’t overcrowd the pan when frying the paneer. Fry in batches to ensure even cooking and maximum crispiness.
• Taste the sauce and adjust the seasoning as needed. Everyone’s palate is different!
• For extra flavor, you can marinate the paneer in a little ginger-garlic paste and soy sauce for 30 minutes before coating it in the batter.

Variations

This recipe is super versatile! Here are a few ways to customize it:

• Spice Level: My family loves it medium-spicy, but you can easily adjust the heat. Add more dried red chilies or a pinch of chili flakes for a hotter kick. For a milder version, reduce the amount of Schezwan chutney.
• Vegan: My friend, Priya, who’s vegan, makes this with plant-based paneer, and it’s fantastic! Just make sure your Schezwan chutney is also vegan-friendly.
• Gluten-Free: If you’re gluten-free, simply use a gluten-free flour blend in place of the all-purpose flour.

Serving Suggestions

Paneer Chili is fantastic as an appetizer, but it also makes a great side dish with rice or noodles. I love serving it with a side of fried rice for a complete meal.

Storage Instructions

Leftovers can be stored in an airtight container in the refrigerator for up to 2 days. The paneer might lose some of its crispiness, but it will still taste delicious! You can reheat it in a pan or microwave.

FAQs

Let’s answer some common questions:

1. What type of paneer works best for Paneer Chili?

Fresh paneer is ideal because it holds its shape well. If using frozen, thaw completely and gently squeeze out excess water.

2. Can I make the Schezwan sauce ahead of time?

Absolutely! You can make the Schezwan sauce a day or two in advance and store it in the refrigerator. This will save you time when you’re ready to cook.

3. How do I adjust the spice level of this dish?

Adjust the amount of Schezwan chutney and dried red chilies to control the heat.

4. What is the best way to prevent the paneer from becoming rubbery?

Don’t overcook the paneer! Fry it until golden brown and crispy, but not for too long.

5. Can this be made in an air fryer instead of deep frying?

Yes, you can! Lightly spray the battered paneer with oil and air fry at 180°C (350°F) for about 10-12 minutes, flipping halfway through.

6. What is the difference between Chinese chili and Schezwan chili?

Chinese chili is generally made with fermented chili beans, while Schezwan chili is a vibrant, spicy, and tangy chili sauce originating from the Sichuan province of China, adapted to Indian tastes.

Enjoy making this Paneer Chili! I hope it becomes a favorite in your kitchen too. Let me know in the comments how it turns out for you!