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Home » Recipes » Curry

Paneer Butter Masala - Instant Pot Pressure Cooker

Published January 23, 2018 Updated July 21, 2021 By Meeta Arora 168 Comments | This post may contain affiliate links. As an Amazon Associate I earn from qualifying purchases.

7.0K shares
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Paneer Curry garnished with cilantro and naan on the side or to dip in the sauce

Paneer Butter Masala, a favorite at Indian restaurants, made in the Instant Pot or a traditional Pressure Cooker.  This dish is also popularly known as Paneer Makhani.

Chunks of paneer or cottage cheese cooked in a mildly spiced tomato gravy. Delicious and very easy to make Paneer Butter Masala in the instant pot

Paneer Butter Masala has chunks of paneer or cottage cheese cooked in a mildly spiced onion tomato gravy.  It is so smooth and creamy that you will not want to stop eating it.   My daughter is a very very picky eater and has repeatedly requested this paneer dish, so I can attest that it is very kid friendly.

If you like paneer, check out other instant pot recipes - Palak Paneer, Paneer Tikka Masala and Matar Paneer.

How to make Instant Pot Paneer Butter Masala? - A different preparation 

The preparation for this paneer butter masala is very different than the usual onion-tomato gravy.  Usually to make gravy, we first sauté onions and then sauté tomatoes. However this one is done in a completely different way.

Paneer Butter Masala Instant Pot Pressure Cooker

Add all the ingredients, except paneer, cream and honey in the instant pot and pressure cook for 8 minutes.  You don't need to finely chop the onions and tomatoes, as we are going to blend them later.  This is also the reason, I suggest to add the whole spices in a pouch made from thin cheesecloth or a spice bag.  This helps to get the flavor, but you can also remove it before blending.

Then blend the cooked ingredients using an immersion blender or in a regular blender.  I used my immersion blender, which I could use directly in the pot.  If using a regular blender, you would have to pour the contents into the blender and may need to let them cool before blending. Then pour them back to the instant pot after blending.  The gravy is now ready. Add cream, honey and paneer chunks. Stir and let the curry rest for 5 minutes.

Paneer butter masala is ready.  Garnish with some kasoori methi or cilantro and enjoy with naan, roti or rice.

Chunks of paneer or cottage cheese cooked in a mildly spiced tomato gravy. Delicious and very easy to make Paneer Butter Masala in the instant pot. Great to dip naan.

Isn't it a lovely color?  And the most easy dish to prepare? This is my go to dish when I have not done much preparation...and oh, perfect to serve if you have guests coming over.

Love this gravy?  Make it a dip with naan and serve it as an appetizer. This used to be a complimentary appetizer served at an Indian restaurant I frequently visited in Chicago.

This gravy also freezes well. Prepare in advance and freeze. Then when needed, defrost, give a boil and add chunks of paneer. And why only paneer, you can add green peas & paneer to make matar paneer or add green peas & sliced mushrooms to make mushroom matar. See notes for variations.

Don't forget to check out my post on 23 Best Instant Pot Indian Recipes. 

Tried this recipe?Give a rating by clicking the ★ below
Instant Pot Paneer Butter Masala topped with cilantro and cream with naan bread on the side

Paneer Butter Masala - Instant Pot Pressure Cooker

Meeta Arora
Chunks of paneer or cottage cheese cooked in a mildly spiced tomato gravy. This Paneer Butter Masala is so delicious and very easy to make in the instant pot. 
4.85 from 157 votes
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Servings: 4
Calories: 302
Course: Main Course
Cuisine: North Indian
Diet: Gluten-free, Vegetarian
Method: Instant Pot/Pressure Cooker
Prep Time: 5 mins
Cook Time: 25 mins
Total Time: 30 mins

Ingredients
 
 

  • 1 lb Paneer or Cottage cheese chunks
  • 2 tablespoon Butter
  • 1 Green chili pepper (optional)
  • 1 teaspoon Cumin seeds (Jeera)
  • 1 Onion cut in large pieces
  • 1 tablespoon Ginger minced
  • 1 tablespoon Garlic minced
  • 4 Tomato cut in large pieces
  • ¼ cup Cashews
  • 2 tablespoon Dried Fenugreek leaves (Kasoori Methi)
  • ¼ cup Water
  • ¼ cup Cream heavy whipping or coconut cream
  • 1 tablespoon Honey
  • 1 teaspoon Salt adjust to taste

Spices

  • ½ teaspoon Ground Turmeric (Haldi powder)
  • 1 teaspoon Coriander powder (Dhaniya powder)
  • ½ teaspoon Ground Cumin (Jeera powder) or Garam Masala
  • 1 teaspoon Cayenne or Red Chili powder adjust to taste

Whole Spices

  • 2 sticks Cinnamon (Dalchini)
  • 5 Green Cardamom (Elaichi)
  • 2 Black Cardamom (Moti Elaichi)
  • 1 teaspoon Black Peppercorns
  • 1 teaspoon Cloves (Laung)

Instructions
 

  • Make a spice pouch by adding the whole spices to a cheesecloth. Tie it such that the spices cannot come out of it.
  • Except paneer, cream and honey, add all ingredients and spice pouch to the Instant Pot including the spices. Close lid with vent in sealing position. 
  • Set the instant pot to manual or pressure cook mode on high pressure for 8 minutes.
  • After the instant pot beeps, release the pressure naturally.
  • Remove the spice pouch carefully. Blend the contents in the instant pot with an immersion blender or regular blender to a smooth paste. If using regular blender, you may need to cool the ingredients before blending. Get the contents back to the instant pot. 
  • Add the cream and honey. Stir into the sauce. 
  • Add paneer chunks. Stir them into the sauce and let it rest for 5 minutes. You can cover with a glass lid. 
  • Paneer Butter Masala is ready to be served. Garnish with dry fenugreek leaves or cilantro.

Video

Notes

Don't have a spice bag: If you dont have a spice bag, you can skip the whole spices, and add about a teaspoon of Garam Masala (adjust to taste) at the end. 
Freezing: This gravy freezes well. Skip adding the paneer and keep this sauce handy to prepare this or other curries.
Variations:
  • Matar Paneer / Mushroom Matar / Roasted Cauliflower - You can also add different veggies to this sauce and make delicious curries. All of the veggies can be added after making the sauce. Simmer for 3-4 minutes on saute mode to cook the veggies. 
  • Butter Chicken or Murgh Makhani - You can also cook butter chicken with this recipe. Add chicken thigh pieces on top of the other ingredients before pressure cooking. Cook for 10 minutes at high pressure. Remove chicken and cut into 2-3 inch size pieces. Add back to the sauce. Voila, butter chicken is ready!  (Update: Butter Chicken Recipe here)
  • Love this gravy?  Make it a dip with naan and serve it as an appetizer.
  • Vegan: To make this curry vegan, replace cream with coconut cream and paneer with tofu or vegetables. 
Make it a meal: Cook white basmati rice pot-in-pot (PIP) when pressure cooking the curry. Check measurements here.
Inspired by recipe from thegirlthatmadeitall. 

Note: Nutrition values are my best estimates. If you rely on them for your diet, use your preferred nutrition calculator.

Nutrition

Serving: 331gCalories: 302kcalCarbohydrates: 24.69gProtein: 17.16gFat: 16.57gSaturated Fat: 6.987gCholesterol: 37mgSodium: 1041mgPotassium: 655mgFiber: 4.5gSugar: 13.2gVitamin A: 3800IUVitamin C: 52mgCalcium: 180mgIron: 2.9mg
Keyword best, easy, instant pot, pressure cooker
Tried this recipe?Share your photo and tag @PipingPotCurry or #pipingpotcurry

Check out other Instant Pot Curries you might enjoy:

  • Aloo Gobi
  • Saag Paneer
  • Green Beans and Potato Stir Fry (Aloo Beans)

Reader Interactions

Comments

  1. Mugdha says

    May 09, 2022 at 6:23 am

    Going to be my go-to paneer recipe when having guests now on 🙂

    Reply
  2. Mugdha says

    May 07, 2022 at 2:43 pm

    Another hit recipe. Love how simple the process is, going to make it again

    Reply
    • Piping Pot Curry says

      May 09, 2022 at 11:58 am

      Hi Mugdha - That makes me happy. Thank you for sharing back 🙂

      Reply
  3. Sophia says

    March 27, 2022 at 2:43 pm

    Love this recipe. Making it now and the house smells delicious!

    Reply
  4. K Jones says

    January 30, 2022 at 10:05 am

    Hello, I made this recipe however, ended up with a slight bitter taste. What caused this and how can I correct for it? Thank you

    Reply
    • Meeta Arora says

      February 12, 2022 at 8:18 pm

      Hi - I wonder it is the onions which gave the bitter taste. If you like, you can sauté the onions a little before adding in all the other ingredients.

      Reply
  5. Sj says

    December 09, 2021 at 7:56 pm

    I tried this in the instant pot several times and it is yummy. How long do you cook it in the traditional pressure cooker though?

    Reply
    • Meeta Arora says

      December 23, 2021 at 6:06 am

      Hi Sj - Glad to hear you enjoyed the curry made in the instant pot. For a stovetop pressure cooker, cook for 3 whistles.

      Reply
  6. Shraddha says

    November 23, 2021 at 5:09 pm

    After many fails, this recipe worked perfectly!
    Thank you !
    I'm going to try more recipies from this website! 🙂

    Reply
    • Meeta Arora says

      December 02, 2021 at 5:26 pm

      Hi Shraddha - Happy to hear the recipe worked perfectly. Thanks for sharing back!

      Reply
  7. JR says

    November 11, 2021 at 7:10 pm

    What is the equivalent for using tomato paste or canned tomatoes instead of fresh tomatoes?

    Reply
    • Meeta Arora says

      December 02, 2021 at 9:51 am

      Hi - You can use a 14oz can of diced tomatoes (they are typically equivalent to 4-5 tomatoes). Hope you enjoy the curry!

      Reply
  8. S says

    August 24, 2021 at 1:16 pm

    So easy to make and yet it was so delicious and smells heavenly! I used garam masala powder instead of whole spices and extra cashews and it was sweet and creamy enough that I did not need to add any honey or cream. Always love your recipes 💕

    Reply
    • Piping Pot Curry says

      August 25, 2021 at 10:12 am

      Hi - I'm delighted to hear you enjoyed the recipe. Thank you for sharing it 🙂

      Reply
  9. S says

    January 03, 2021 at 3:40 pm

    I made this last week and oh my, it was great! I did do some alterations based on what I had in stock.
    I omitted the green chili pepper, dried fenugreek leaves and black cardamom due to not having any in my pantry.I also used 1 cup of heavy cream and substituted tofu for paneer. Instead of red chili powder I used red chili flakes for some heat. So amazing!! Thank you for this! I finally found an easy curry recipe that I can meal prep with.

    Reply
    • Piping Pot Curry says

      January 04, 2021 at 9:02 am

      Hi - So glad to hear that. Thank you for sharing your experience 🙂

      Reply
  10. Tommie says

    October 24, 2020 at 4:01 pm

    Wonderful. I did not have all the spices and used Garam Masala instead of the spice bag. Used a can of rotel tomatoes instead of whole tomatoes and then did not use the chili. Even with my changes it was still delicious. Very easy. Will double it the next time!

    Reply
    • Piping Pot Curry says

      October 26, 2020 at 11:09 am

      Hi Tommie - So happy to hear that. Thank you for sharing your experience 🙂

      Reply
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Meeta Arora of Piping Pot Curry

I strongly believe that each one of us has a chef inside us, we just need to explore the ingredients and create great food. Here you will find easy & delicious recipes using Instant Pot & Air Fryer.

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