Paneer Chilli Recipe – Authentic Indo-Chinese Fried Paneer

Last Updated on 4 months by Neha Deshmukh

Paneer Chilli Recipe – Authentic Indo-Chinese Fried Paneer

Hey everyone! If you’re anything like me, you absolutely love a good Indo-Chinese dish. There’s just something so satisfying about that perfect balance of sweet, sour, and spicy. And honestly, nothing beats a plate of crispy, golden paneer tossed in a vibrant chilli sauce. I first made this Paneer Chilli recipe years ago, trying to recreate my favourite restaurant version, and it’s been a family favourite ever since! It’s surprisingly easy to make at home, and I’m so excited to share my version with you.

Why You’ll Love This Recipe

This Paneer Chilli isn’t just delicious; it’s a crowd-pleaser! It’s perfect as a starter for parties, a side dish with fried rice or noodles, or even a satisfying snack on its own. Plus, it comes together relatively quickly – perfect for a weeknight treat or when you’re craving something flavourful without spending hours in the kitchen. It’s that perfect blend of comfort food and exciting flavours.

Ingredients

Here’s what you’ll need to make this amazing Paneer Chilli:

• 1.5 cups Paneer, cubed
• 1 Capsicum (bell pepper), chopped
• 1 Onion, chopped
• 4 Green chillies, chopped
• 1 teaspoon Soy sauce
• 1 tablespoon Chilli tomato sauce
• 2 teaspoons Lemon juice
• 0.5 teaspoon Pepper powder
• 5 Garlic cloves, minced
• 4 tablespoons Coriander, chopped
• 2 tablespoons Spring onion, chopped
• Salt, to taste
• 1.5 tablespoons Maida/ all purpose flour (approx. 150g)
• 1.5 tablespoons Corn flour (approx. 150g)
• 0.25 teaspoon Black pepper powder
• 1 Pinch Cooking soda
• Oil, for deep frying and sautéing

Ingredient Notes

Let’s talk ingredients for a sec! A few things make this recipe really shine.

• Maida & Cornflour: The combination of maida (all-purpose flour) and cornflour is key for that super crispy, light batter. The cornflour adds extra crunch, while the maida helps bind everything together.
• Sauce Balance: The soy sauce and chilli tomato sauce create a beautiful balance of sweet, sour, and umami. Don’t be afraid to adjust the amounts to your liking!
• Fresh Herbs: Fresh coriander and spring onions are a must! They add a lovely freshness and vibrant colour to the dish. Seriously, don’t skip these.

Step-By-Step Instructions

Alright, let’s get cooking!

1. First, let’s soften the paneer. Soak the paneer cubes in hot water for about 10-15 minutes. This makes them beautifully soft and prevents them from becoming rubbery when fried.
2. Now, for the batter. In a bowl, whisk together the maida, corn flour, cooking soda, salt, and black pepper powder. Add a little water at a time to form a smooth, coating batter.
3. Coat each paneer cube in the batter, making sure they’re evenly covered.
4. Heat plenty of oil in a deep frying pan or wok. Carefully drop the battered paneer into the hot oil and deep fry until golden brown and crispy. Drain on paper towels to remove excess oil.
5. In a separate pan, heat a tablespoon of oil. Sauté the minced garlic and chopped green chillies for a few seconds until fragrant.
6. Add the chopped onions and capsicum and sauté on high flame until they’re slightly softened but still crunchy. We want a bit of bite!
7. Pour in the soy sauce, chilli tomato sauce, pepper powder, and salt. Mix well and let the sauce simmer for a minute or two.
8. Now, the best part! Toss the fried paneer in the sauce, ensuring each piece is well coated.
9. Squeeze in the lemon juice and garnish generously with chopped coriander and spring onions.

Expert Tips

• Don’t overcrowd the pan when frying the paneer. Fry in batches to ensure even cooking and crispiness.
• Make sure the oil is hot enough before adding the paneer. If it’s not hot enough, the paneer will absorb too much oil.
• Taste the sauce and adjust the seasoning as needed. Everyone’s spice preference is different!

Variations

Want to switch things up? Here are a few ideas:

• Vegan Adaptation: Swap the paneer for firm or extra-firm tofu, pressed to remove excess water.
• Gluten-Free Adaptation: Use a gluten-free rice flour blend instead of maida.
• Spice Level: Adjust the quantity of green chillies and pepper powder to control the heat. My friend loves to add a pinch of red chilli powder for an extra kick!
• Festival Adaptation: This is a fantastic starter for Diwali or New Year celebrations. My family always requests it!

Serving Suggestions

Serve this Paneer Chilli hot, immediately after cooking. It’s delicious on its own as an appetizer, or you can pair it with:

• Fried Rice
• Hakka Noodles
• Chow Mein
• A side of refreshing cucumber salad

Storage Instructions

Leftovers can be stored in an airtight container in the refrigerator for up to 2 days. However, the paneer will lose some of its crispiness. You can reheat it in a pan or oven, but it won’t be quite as good as freshly made.

FAQs

1. What type of paneer works best for Paneer Chilli – fresh or frozen?

Fresh paneer is ideal, but frozen paneer works well too! Just make sure to thaw it completely and gently squeeze out any excess water before soaking it.

2. Can I make the sauce ahead of time? How should I store it?

Yes, you can! The sauce can be made a day ahead and stored in an airtight container in the refrigerator.

3. How can I adjust the sweetness/sourness of the chilli sauce?

Add a little more chilli tomato sauce for sweetness, or a squeeze more lemon juice for sourness.

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

Soaking the paneer in hot water is the key! It softens the paneer and prevents it from becoming tough.

5. Can I bake the paneer instead of frying it for a healthier option?

You can! Toss the battered paneer with a little oil and bake at 200°C (390°F) for about 15-20 minutes, flipping halfway through. It won’t be quite as crispy, but it’s a healthier alternative.

Enjoy! Let me know how it turns out in the comments below. Happy cooking!