Restaurant Style Chilli Paneer Recipe

Chilli Paneer is a very popular Indo-Chinese dish made with fried paneer cubes in spicy sauces like soy sauce, chilli sauce, etc. This restaurant-style dish can be served with fried rice and pan-fried noodles.

I am an Indian but I also like Chinese food very much. Especially if it is a combination of Indian and Chinese cuisine. In short, it is called Indo-Chinese food.
If you look all over India, Indo-Chinese food is easily available in all the roadside dhabas. Among them, my favorite is chilli chicken and chilli Paneer. If you want to know how to make restaurant-style chilli chicken, you can read my post.
Just like Chili Chicken is a favorite of everyone, this Chili Paneer is a great choice for those whos are vegetarian.
There are usually two types of Chilli Paneer, the first one is the dried version that means chili paneer dry recipe. The second is the gravy version, the Chili Paneer Gravy.

Chilli Paneer Recipe with Step by Step Photos

We can divide this whole recipe into two parts. The first one is Preparation and the second one is Cooking.


1. Cut capsicums and onions into square shapes. Then finely chop the ginger, garlic and green chilies.

2. Cut the paneer or cottage cheese into cube shapes.

3. Thereafter add 2 tbsp of cornflour and 1/2 tbsp of flour along with salt and pepper powder. Mix them gently and fry in oil.


4. Again heat a pan with 2 tbsp of water. Add chopped ginger, garlic, and green chili. Fry a little.

5. Then add capsicum and onion. Make sure the flame of gas will be on high. The authentic taste has come only if the cooking was done on high heat.

6. Then add all the sauces one by one and continue to cooking. You can add salt and 1/2 tbsp of vinegar if you need to speed up the frying process.

7. After this add the paneer cubes. [I like to add paneer cubes in this stage but it’s not necessary. Many people like to add paneer cubes at the last stage, it’s totally your opinion.] Mix well.

8. Add the required amount of water to make gravy. Mix well and saute for 2 more minutes.

9. When you see the gravy just started bubbling, add 2 tbsp of the cornstarch mixture to make the gravy thicker. Even you can add more if required.

10. In this stage, you can add sugar and salt if required. Thereafter add chopped spring onion and give a little mix.

11. Your homemade chilli paneer is now ready to serve. Fried rice is my favorite, you can also serve this with anything else.

Chilli Paneer Recipe

Chilli Paneer Recipe

Abhijit Dey
Chilli Paneer is a very popular Indo-Chinese dish made with fried paneer cubes in spicy sauces like soy sauce, chilli sauce etc. This restaurant-style dish can be served with fried rice and pan-fried noodled.
5 from 5 votes
Prep Time 15 minutes
Cook Time 10 minutes
Total Time 25 minutes
Course Main Course, Side Dish
Cuisine Indo-Chinese
Servings 4 people
Calories 350 kcal


  • 250 grams Fresh Cottage Cheese
  • 1 piece Onion cubed
  • 1 piece Capsicum cubed
  • 1 inch Ginger minced
  • 10 cloves Garlic minced
  • 4 pieces Cilantro chopped
  • 3 tbsp Cornflour
  • ½ tbsp Black Pepper powder
  • 2 tbsp Soya sauce
  • 2 tbsp Chili sauce
  • 2 tbsp Tomato Sauce/ketchup
  • Salt as per taste
  • 1 tbsp Sugar optional
  • Oil as per requirement
  • 1 tbsp Spring onion chopped


  • Finish chopping vegetables first. Capsicum and Onion can be cut into cubes sizes. Ginger and Garlic has to be finely chopped.
  • Cut the Paneer into cubes and keep in a large mixing bowl.
  • Add 2 tbsp of cornflower along with 1/2 tbsp of salt and 1/2 tbsp of black pepper powder. Shake gently but careful to not break the paneer cubes.
  • Heat a frying pan with oil.
  • Put all the paneer cubes one by one into the oil and fry for a minute. After fry, put them out and keep aside.
  • Again heat a pan with only 2 tbsp of oil.
  • When you see the oil is heated enough add chopped garlic, ginger, and green chili. Saute a little until you get a nice aroma.
  • Then add cubed capsicum and onion. Continue to deep-frying mode.
  • You can add salt and a little bit of vinegar at this time to speed up the process.
  • Then add tomato sauce, Chilli sauce, and soya sauce in it and stir well.
  • After that add fried paneer cubes. Mix well. You can complete the whole recipe here if you need chilli paneer dry.
    [Just add 1 tbsp of cornflower water and your dry chilli paneer is ready to serve with spring onion garnished.]
  • Add water to make gravy. Saute for a minute until the water or gravy comes to boil.
  • When you see the gravy starts to boil add 2 tbsp of cornflour mixture (1 tbsp of cornflower + 4 tbsp of water). Mix well.
  • Add the required salt and sugar in it.
  • Add chopped spring onion, stir for a minute and turn off the gas.
  • Your Homemade Chili Paneer with Gravy is ready. Serve this with Roti or Nun. I mostly prefer with Fried Rice.



  • Some people allow to add red chili powder and hot spice powder in this chilli paneer recipe, but that is completely optional. Keep trying both versions and let me know how’s the taste.
  • Add cornstarch mixture when the gravy just starts bubbling.
  • You can add 1/2 tbsp of all-purpose flour when mixing the cornflour with paneer. It helps to make a nice coating outside the paneer cubes.


Calories: 350kcal
Keyword Chilli Paneer, Restaurant Style Chilli Paneer
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