Mushroom Paneer

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Mushroom paneer with step by step pics. This is a restaurant style recipe with a super delicious taste. The gravy or curry is creamy, slightly tangy and a bit sweet with tender mushrooms and soft paneer in it. Serve it with roti, naan, paratha, jeera rice or steamed basmati rice for a rich and tasty meal.

mushroom paneer served in a white bowl

Both white button mushrooms and paneer are favorite at home. so there are many recipes I make with them. What better than a lovely combination of both mushroom and paneer in one dish. There is another Awadhi recipe of a semi dry curry which I have already shared before having both mushrooms and paneer – Dhingri dolma.

To make this mushroom paneer, I use the same ingredients as that for dhingri dolma and just change the method slightly with addition of some more ingredients. Few more delicious variations you can make with paneer or mushrooms are:

Preparing this restaurant style paneer mushroom recipe takes some time, but worth the effort. You can make it for special occasions or party or whenever you want to have a rich curry dish.

You can serve mushroom paneer grvay with tandoori roti, phulka or naan or paratha or even pooris. It also goes well with a mildly spiced rice like jeera rice, matar pulao, ghee rice or saffron rice.

Step-by-Step Guide

How to make Mushroom Paneer

1. Rinse or wipe dry 200 grams of white button mushrooms. Slice off a bit of the base stalk. Then slice or chop the mushrooms. Keep aside.

sliced mushrooms

2. Peel, rinse and chop 1 large onion (115 grams onion), 4 to 5 garlic cloves and 1 inch ginger. Also, chop 1 large tomato (115 grams tomatoes).

You will need 1 cup chopped onion, ¾ cup chopped tomatoes, 1 teaspoon chopped garlic and 1 teaspoon chopped ginger.

chopped onion tomatoes garlic and ginger

3. Heat 2 tablespoons of oil in a pan or kadai. Add the chopped onion.

chopped onions added to kadai

4. Stir and mix.

mix onions with oil

5. Stirring often saute on low to medium heat.

sauteing onions

6. Saute till the onions start turning golden.

sauteing onions

7. Then add the chopped ginger and garlic.

chopped ginger garlic added

8. Saute on low heat for a couple of seconds or till the raw aroma of both ginger and garlic goes away.

sauteing ginger garlic

9. Next add the chopped tomatoes. I suggest using tomatoes that are not too sour or tangy. Otherwise the gravy will become sour.

chopped tomatoes added

10. Then add 2 tablespoons of whole cashews.

whole cashews added

11. Mix very well and begin to saute the tomatoes on a low heat.

sauteing tomatoes

12. If the tomatoes start sticking to the pan, then you can sprinkle some water. Stir and continue to saute.

sauteing tomatoes

13. Saute till the tomatoes soften. Switch off the heat and let this onion-tomato mixture become warm or cool down at room temperature.

Do note that the tomatoes have to be softened well and cooked completely before you grind or blend them.

sauteing till tomatoes soften

14. Once cooled, then take this mixture into a grinder or blender jar.

onion tomato masala mixture added to grinder jar

15. Add 3 to 4 tablespoons of water and grind or blend to a smooth fine paste. There should be no chunks of tomatoes or cashews in the paste. Keep it aside.

prepared paste in the grinder jar

Making gravy

16. Now heat 1 tablespoon of oil in the same pan. Add 1 small to medium tej patta (Indian bay leaf) and ½ teaspoon shahi jeera (caraway seeds).

If you do not have shahi jeera, then you can use jeera (cumin seeds) or else skip shahi jeera. You can also add 2 tablespoons of oil instead of 1 tablespoon oil.

You can use any neutral flavored oil. For a more richer flavor you can use ghee instead of oil.

oil added to pan with shahi jeera and tej patta

17. Fry till the shahi jeera splitters on low heat.

frying shahi jeera

18. Now add the chopped mushrooms.

chopped mushrooms added

19. Stir and mix them well.

mixing mushrooms with masala

20. Begin to saute them on a low heat stirring often. Stir continuously after adding mushrooms so that they do not stick to the pan.

stirring and sauteing mushrooms

21. The mushrooms will release water when cooking.

mushroom releasing water while cooking

22. Continue to saute stirring often till all the water dries up.

sauteing mushroom till all water dries up

23. The entire mixture should be dry before you proceed to the next step. Now add ¼ teaspoon Kashmiri red chilli powder and ¼ teaspoon black pepper powder.

For a more spicy taste, you can add ½ to 1 teaspoon of Kashmiri red chili powder.

red chili powder and black pepper powder added

24. Stir and mix very well.

mixing mushrooms with spices and masala

25. Now add the ground onion-tomato-cashew paste.

ground onion-tomato-cashew paste added

26. Stir and mix very well.

mixing ground onion-tomato-cashew paste with mushrooms mixture

27. On a low heat saute stirring non-stop for 4 to 5 minutes.

sauteing mushroom mixture

28. Add 1 cup of water or add water as required.

water added

29. Mix again very well.

mixing again

30. Season with salt as per taste and mix again.

salt added to gravy

31. On a low heat let the gravy come to a boil.

bringing gravy to a boil

32. Then add ¼ teaspoon garam masala powder and ¼ teaspoon crushed kasuri methi (dry fenugreek leaves).

garam masala powder and crushed kasuri methi added

33. Mix again well.

mixing again

34. Now add 200 grams of paneer chopped in cubes or squares.

paneer cubes added

35. Then add ¼ cup grated or crumbled paneer. You can use 3 to 4 cubes from the 200 grams paneer and crumble them and add.

grated paneer added

36. Mix very well but gently. Simmer for a few seconds and switch off the heat.

Check the taste. If you get a tangy taste from the tomatoes, then you can add ½ teaspoon of sugar. You can also add 2 to 3 tablespoons of cream at this step and mix well.

sugar added to gravy

37. Add 1 tablespoon of chopped coriander leaves.

coriander leaves added

38. Mix well and serve mushroom paneer with khasta roti, phulka, naan, jeera paratha and even pooris. You can also serve mushroom paneer with a mildly spiced rice like cumin rice, peas pulao, ghee rice.

mushroom paneer served in a white bowl


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Mushroom Paneer

This paneer mushroom curry is a restaurant style recipe with a super delicious taste. The gravy is creamy, slightly tangy and mildly sweet with tender mushrooms and soft paneer in it.
4.93 from 13 votes
Prep Time 25 mins
Cook Time 20 mins
Total Time 45 mins
Cuisine North Indian, Punjabi
Course Main Course
Diet Vegetarian
Difficulty Level Moderate
Servings 4
Units

Ingredients

for masala paste

  • 2 tablespoons oil
  • 1 cup chopped onion or 1 large onion or 115 grams onion
  • ¾ cup chopped tomatoes or 1 large tomato or 115 grams tomatoes
  • 1 teaspoon chopped garlic
  • 1 teaspoon chopped ginger
  • 2 tablespoons cashews
  • 3 to 4 tablespoons water for grinding

for gravy

  • 1 tablespoon oil
  • 1 small to medium tej patta (indian bay leaf)
  • ½ teaspoon shahjeera (caraway seeds)
  • 200 grams white button mushrooms
  • ¼ teaspoon kashmiri red chilli powder
  • ¼ teaspoon black pepper powder
  • 1 cup water
  • salt as required
  • ¼ teaspoon Garam Masala
  • ¼ teaspoon kasuri methi – crushed (dry fenugreek leaves)
  • 200 grams Paneer (cottage cheese)

Instructions
 

Preparation

  • Rinse or wipe dry the button mushrooms. Slice off a bit of the base stalk. Then slice or chop mushrooms. Keep aside.
  • Peel, rinse and chop onion, garlic and ginger. Also chop tomato. Keep aside. 

Making paste

  • Heat 2 tablespoons oil in a pan or kadai. add the chopped onion.
  • Mix and then saute on a low to medium flame till the onion starts turning golden.
  • Then add the chopped ginger, garlic and saute till the raw aroma of both ginger and garlic goes away.
  • Next add the chopped tomatoes and 2 tablespoons whole cashews.
  • Mix very well and begin to saute the tomatoes on a low heat.
  • If the tomatoes start sticking to the pan, then you can sprinkle some water. Stir and continue to saute.
  • Saute till the tomatoes soften very well. Switch off heat and let this onion-tomato mixture become warm or cool down at room temperature.
  • Then take this mixture in a grinder or blender jar.
  • Add 3 to 4 tablespoons water and grind or blend to a smooth fine paste. There should not be any chunks of cashews or tomatoes in the paste. Keep aside.

Making mushroom paneer

  • Now heat 1 tablespoon oil in the same pan. Add 1 small to medium tej patta and ½ teaspoon shahi jeera (caraway seeds).
  • Fry till the shahi jeera splutters on low heat. If you do not have shahi jeera, then you can use jeera (cumin seeds) or else skip shahi jeera.
  • Now add the chopped mushrooms. Stir and mix them well.
  • Begin to saute them on a low heat stirring often.
  • The mushrooms will release water when cooking.
  • Continue to saute stirring often till all the water dries up. The entire mixture should be dry before you proceed to the next step.
  • Now add ¼ teaspoon kashmiri red chilli powder and ¼ teaspoon black pepper powder. mix very well.
  • Now add the ground onion-tomato-cashew paste and mix very well.
  • Saute stirring non-stop for 4 to 5 minutes. Then add 1 cup water and mix again very well.
  • Season with salt as per taste and mix again. On a low heat let the gravy come to a boil.
  • Then add ¼ teaspoon garam masala powder and ¼ teaspoon kasuri methi (crushed). mix again well.
  • Now add 200 grams paneer chopped in cubes or squares.
  • Then add ¼ cup grated or crumbled paneer. You can use 3 to 4 cubes from the 200 grams paneer and crumble them and add.
  • Mix very well and simmer for a few seconds.
  • Switch off heat and add 1 tablespoon chopped coriander leaves.
  • Mix well and serve mushroom paneer with tandoori roti, phulka, naan, butter naan, pudina paratha, kerala parotta and even pooris. 
  • This gravy also goes well with a mildly spiced rice like cumin rice, garam masala rice, matar pulao, ghee rice, kuska rice, saffron rice.

Notes

  • Use fresh tomatoes that are not too tangy or sour. Or the gravy can become very sour.
  • use fresh soft homemade paneer.

Nutrition Info (Approximate values)

Nutrition Facts
Mushroom Paneer
Amount Per Serving
Calories 303 Calories from Fat 225
% Daily Value*
Fat 25g38%
Saturated Fat 8g50%
Cholesterol 33mg11%
Sodium 86mg4%
Potassium 335mg10%
Carbohydrates 10g3%
Fiber 1g4%
Sugar 4g4%
Protein 10g20%
Vitamin A 90IU2%
Vitamin C 8.4mg10%
Calcium 263mg26%
Iron 1.1mg6%
* Percent Daily Values are based on a 2000 calorie diet.

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This Mushroom Paneer post from the archives first published in November 2017 has been republished and updated on 27 June 2022.

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Meet Dassana

Welcome to Dassana's Veg Recipes. I share vegetarian recipes from India & around the World. Having been cooking for decades and with a professional background in cooking & baking, I help you to make your cooking journey easier with my tried and tested recipes showcased with step by step photos & plenty of tips & suggestions.

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4 Comments

  1. Your site is a one stop solution for all the cooking at our home
    Thanks a ton ????????????????5 stars

  2. Thanks for this receipe.My son loved the mushroom paneer!! Your website is my all time favourite.5 stars