Step 1

Place a fine-mesh strainer over a large bowl and line it with a double layer of cheesecloth, allowing for plenty of overhang.

Step 2

In a large Dutch oven or other heavy-bottomed pot over medium heat, bring the milk to a boil, stirring frequently so it doesn’t scorch. The milk will start to froth and rise in the pot.

Step 3

Immediately decrease the heat to low, add the yogurt and stir constantly until curds begin to form, 2 to 3 minutes. If, after 3 minutes, the curds have not formed, add more yogurt, 1 tablespoon at a time, until they do. Keep stirring until the curds separate entirely from the yellow-green whey, 5 to 10 minutes. If the curds take too long to separate, add lemon juice or vinegar, 1 tablespoon at a time. The curds should form within 1 minute or so.

Step 4

As soon as the mixture separates, pour it into the cheesecloth-lined strainer. (Reserve the whey for another use, such as baking bread.) Remove the strainer from the bowl and rinse the curds under cold, running water until cool enough to handle, about 1 minute; set the strainer set over another large bowl nearby.

Step 5

Wrap the curds tightly in the cheesecloth and squeeze out the liquid until you can shape the curds, still in the cheesecloth, into a disk about 1 inch thick. Return the wrapped disk to the strainer, set a plate or bowl on top of the disk, and weigh it down with a couple of cans of beans or a heavy skillet to squeeze out any excess liquid. (If you have a tofu press, you can transfer the disk there to get a more even shape.)

Step 6

Press the paneer for at least 1 hour and up to overnight — the paneer will hold together better the longer it is compressed. (If pressing longer than 1 hour, transfer to the refrigerator.) Once done pressing, unwrap the paneer, transfer to an airtight container and refrigerate until needed.