Step-by-Step Instructions

1. 1.Marinate the Paneer

   Place 400 gms of paneer cubes in a bowl. Add 1 tsp salt, 1/2 tsp turmeric powder, 1 tsp Kashmiri chili powder, and 1 tsp Kasuri methi. Mix well with your hands to coat all the paneer pieces evenly. Let it sit for 10 minutes to marinate.

2. 2.Prepare the Curd Mixture

   In a separate bowl, add 500 gms of thick fresh curd. Add 1/4 tsp turmeric powder, 2 tsp Kashmiri chili powder, 1 tsp cumin powder, 2 tsp coriander powder, 1 tsp garam masala, and 1 tsp salt. Whisk the mixture thoroughly until all the spices are well combined and the mixture is smooth.

3. 3.Roast the Paneer

   Heat 2 tsp ghee in a pan. Gently drop the marinated paneer pieces into the pan. Roast the paneer on medium flame, turning frequently, until all sides are lightly golden brown. Remove the roasted paneer from the pan and set aside.

4. 4.Sauté Aromatics for Gravy

   In a wide kadai, heat 3 tbsp oil. Once the oil is hot, add 1 tsp cumin seeds and 2 bay leaves. Roast them for a few seconds until fragrant. Add 2 finely chopped onions and sauté until they turn a nice golden brown color.

5. 5.Add Ginger-Garlic Paste

   Once the onions are golden brown, add 1 tsp fresh garlic paste and 1 tsp fresh ginger paste. Mix everything well and sauté on low heat until the raw smell of ginger and garlic disappears.

6. 6.Incorporate Curd Mixture

   Turn off the stove. Immediately add the prepared curd mixture to the kadai. Quickly stir the curd mixture to combine it with the sautéed aromatics and prevent it from curdling.

7. 7.Cook the Gravy Base

   Turn the stove back on to low flame. Keep stirring the curd mixture continuously for about 5 minutes, allowing it to heat gradually and prevent curdling. After 5 minutes, the raw smell will be gone and oil will start to separate.

8. 8.Add Water and Simmer

   Add 1 cup of water to the gravy. Mix everything well. Close the kadai with a lid and let it cook for about 5 minutes on low to medium flame.

9. 9.Add Cashew Paste

   After 5 minutes, open the lid. You will see the oil has separated beautifully. Add 1/2 cup of diluted cashew paste (made from about 25 cashews). Mix it into the gravy. This will give a rich and creamy texture. Let the gravy come to a nice boil.

10. 10.Add Paneer and Finish

    Gently slide the roasted paneer pieces into the boiling gravy. Mix well. At this point, you can check for seasoning and add salt if needed. Add 2 slit green chilies. Close the kadai and let it cook for another 2 to 3 minutes on medium flame. Finally, finish off by adding some crushed Kasuri methi leaves and finely chopped fresh coriander leaves. Mix gently.

11. 11.Serve Dahi Paneer

    Your incredibly delicious, rich, and creamy Dahi Paneer gravy is ready to be served. Enjoy it with roti, naan, or mild pulao.