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Paneer Capsicum Masala Recipe

Gluten Free, Vegetarian
Paneer capsicum masala is an Indian curry combining paneer & capsicum in a spicy gravy. A quick, flavorful dish perfect for everyday meals!
4.82 from 176 votes
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About this paneer capsicum masala recipe

Paneer Capsicum Masala is a delectable North Indian dish that blends the rich, creamy taste of paneer with the sharp, crunchy flavors of capsicum (bell peppers). Cooked in a luscious onion-tomato gravy, this dish is really simple to prepare and brimming with delightful flavors.

Recipe highlights –

  • Extremely flavorful and aromatic
  • Uses simple, everyday ingredients
  • No elaborate preparation or exotic spices
  • Healthy and high in protein
  • Perfect for everyday meals

Paneer Capsicum Masala is a versatile dish that can be whipped up quickly, making it perfect for a delicious lunch or dinner. It pairs wonderfully with roti, naan, or rice, creating a complete meal. This quick and easy paneer recipe is my go-to dish whenever I need to prepare a flavorful paneer curry in a hurry.

Main ingredients for paneer capsicum masala

You will need the following main ingredients for making this paneer capsicum gravy –

  • Paneer – Cut into large cubes, and lightly pan-fried to add texture and flavor.
  • Capsicum – Bell peppers, or capsicum, offer a sharp contrast to the creamy paneer, enhancing the dish’s overall flavor. Green bell peppers are essential for their distinctive taste, but using colored varieties can add depth and a vibrant presentation. Cut the capsicum into large pieces for a robust flavor or smaller pieces to accommodate picky eaters.
  • Onion and tomatoes – Form the base of the paneer capsicum gravy, providing a rich and hearty flavor.
  • Ginger, garlic & green chili – Add them minced or as a paste to enhance the dish’s aroma and spice.
  • Spices – The dish uses basic everyday Indian spices, including cumin, coriander powder, garam masala, red chili powder, turmeric, and kasuri methi (dried fenugreek leaves), to add depth and complexity.
  • Cream – Cream gives the gravy a rich, velvety texture, but it’s optional. For a healthier version, you can skip it entirely or substitute it with milk, yogurt, or cashew paste.

Nutrition and health benefits

Paneer is a great source of protein, making it an excellent choice for vegetarians. It is rich in essential nutrients like calcium and vitamin D, which are vital for bone health.

If you are looking to reduce your calorie intake, using low-fat paneer can help reduce the calorie content without compromising on the nutritional benefits. Paneer is also known to be beneficial for weight management and maintaining muscle mass.

To make paneer capsicum masala healthier, you can skip the cream and use alternatives like milk or yogurt. These substitutions not only lower the fat content but also add their unique flavors and textures to the dish.

Incorporating various vegetables boosts the fiber content, making the dish more filling and nutritious. Vegetables like baby corn, carrots, beans, potatoes, and peas complement this dish well.

Serving suggestions for paneer capsicum gravy

Paneer Capsicum Masala is best enjoyed with Indian bread like roti, naan, or paratha. The soft, fluffy bread complements the rich and creamy gravy, creating a delightful combination.

For a complete meal, serve it with a side of raita and a fresh salad. The cool and creamy raita balances the spices in the dish, while the salad adds a refreshing crunch.

This dish also pairs well with steamed rice or flavored rice like jeera (cumin) rice or pulao. The mild flavors of the rice allow the vibrant and robust flavors of the Paneer Capsicum Masala to shine. Add a dollop of ghee on top of the rice for an extra touch of richness and flavor.

To make paneer capsicum masala at home take a look at the video or follow the step by step recipe with photos posted below.

Paneer Capsicum Masala Recipe Step By Step Instructions

Paneer Capsicum Masala Recipe

Paneer capsicum masala is an Indian curry combining paneer & capsicum in a spicy gravy. A quick, flavorful dish perfect for everyday meals!
4.82 from 176 votes


Recipe Info

Prep Time 10 minutes
Cook Time 20 minutes
Total Time 30 minutes
Servings 4
Category Main Course
Cuisine Indian

Nutrition

Calories: 248kcal | Carbohydrates: 18g | Protein: 15g | Fat: 14g | Fiber: 4g

Video

Ingredients For Paneer Capsicum Masala Recipe
 

For pan frying paneer

  • 250 gm Paneer
  • 1/4 Teaspoon Turmeric Powder (Haldi)
  • 1/4 Teaspoon Red Chilli Powder
  • 1/4 Teaspoon Salt
  • 2 Tablespoons Cooking Oil

For making gravy

  • 2 Medium-sized Green Capsicum (Bell Pepper / Shimla Mirch) or use colored if you have
  • 1 Large Onion
  • 2 Large Tomato
  • 4-5 Garlic Cloves
  • 2 Inch Piece of Ginger
  • 2 Green Chillies
  • 2 Tablespoons Malai (Whipping Cream)
  • 1 Teaspoon Cumin Seeds (Jeera)
  • 1/2 Teaspoon Turmeric Powder (Haldi)
  • 1/2 Teaspoon Red Chilli Powder
  • 1.5 Teaspoon Coriander Powder (Dhaniya Powder)
  • 1 Teaspoon Salt or to taste
  • 1/2 Teaspoon Garam Masala
  • 1 Teaspoon Kasoori Methi (Dried Fenugreek Leaves)
  • 1/4 Cup Coriander Leaves (Cilantro or Dhaniya)

Step By Step Instructions for Paneer Capsicum Masala Recipe
 

Pan frying the paneer cubes

  1. Cut the paneer into large cubes. Heat oil in a pan and add the paneer cubes. Sprinkle with turmeric powder, red chili powder, and salt.
    250 gm Paneer, 1/4 Teaspoon Turmeric Powder (Haldi), 1/4 Teaspoon Red Chilli Powder, 1/4 Teaspoon Salt, 2 Tablespoons Cooking Oil
    Paneer Capsicum Masala Recipe Step By Step Instructions 1
  2. Pan fry the paneer cubes on medium-high heat until they are lightly browned. Avoid overcooking, as this can cause the pieces to become hard.
    Paneer Capsicum Masala Recipe Step By Step Instructions 2

Making the gravy

  1. In the same oil, add cumin seeds and cook them for 30 seconds or until they start to crackle.
    1 Teaspoon Cumin Seeds (Jeera)
    Paneer Capsicum Masala Recipe Step By Step Instructions 3
  2. Add minced garlic, ginger and finely chopped green chilies to the pan. Sauté for about 30 seconds until fragrant.
    4-5 Garlic Cloves, 2 Inch Piece of Ginger, 2 Green Chillies
    Paneer Capsicum Masala Recipe Step By Step Instructions 4
  3. Next, add finely chopped onions to the pan.
    1 Large Onion
    Paneer Capsicum Masala Recipe Step By Step Instructions 5
  4. Cook the onions on high heat for 2-3 minutes to remove their moisture. Then, reduce the heat to medium-low and cook until they are soft and golden brown.
    Paneer Capsicum Masala Recipe Step By Step Instructions 6
  5. Add pureed or finely chopped tomatoes to the pan.
    2 Large Tomato
    Paneer Capsicum Masala Recipe Step By Step Instructions 7
  6. Next, add in the turmeric powder, red chili powder, coriander powder and salt. You can add in some Kashmiri red chilli powder for color too if you have.
    1.5 Teaspoon Coriander Powder (Dhaniya Powder), 1/2 Teaspoon Turmeric Powder (Haldi), 1/2 Teaspoon Red Chilli Powder, 1 Teaspoon Salt
    Paneer Capsicum Masala Recipe Step By Step Instructions 8
  7. Mix the spices with the tomatoes and cook on medium heat until the tomatoes are fully cooked and begin to release oil on the sides. You can cover with a lid in between to cook them faster.
    Paneer Capsicum Masala Recipe Step By Step Instructions 9
  8. Add malai or cream to the gravy. If malai is not available, or if you prefer a healthier option, substitute it with milk or yogurt.
    2 Tablespoons Malai (Whipping Cream)
    Paneer Capsicum Masala Recipe Step By Step Instructions 10
  9. Add the diced capsicum to the pan. Cover and cook for 3-4 minutes until the bell peppers are cooked but still retain some bite.
    2 Medium-sized Green Capsicum (Bell Pepper / Shimla Mirch)
    Paneer Capsicum Masala Recipe Step By Step Instructions 11
  10. Then add in the fried paneer cubes to gravy.
    Paneer Capsicum Masala Recipe Step By Step Instructions 12
  11. Sprinkle garam masala and crushed kasoori methi over the paneer capsicum gravy.
    1/2 Teaspoon Garam Masala, 1 Teaspoon Kasoori Methi (Dried Fenugreek Leaves)
    Paneer Capsicum Masala Recipe Step By Step Instructions 13
  12. Stir to mix and let it simmer for 2-3 minutes to allow the flavors to meld together. Finally, garnish with finely chopped coriander leaves.
    1/4 Cup Coriander Leaves (Cilantro or Dhaniya)
    Paneer Capsicum Masala Recipe Step By Step Instructions 14
  13. Paneer capsicum masala is ready. Serve it hot with roti, paratha or rice.
    Paneer Capsicum Masala Recipe Step By Step Instructions

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Paneer capsicum masala is an Indian curry combining paneer & capsicum in a spicy gravy. A quick, flavorful dish perfect for everyday meals!
4.82 from 176 votes (176 ratings without comment)

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