Step 1

Dry roast the Kashmiri dry chili, coriander seeds, cumin seeds & peppercorns in a kadai.

Step 2

In a small grinder, grind the dry spices to fine powder & set aside. (You can also use mortar/pestle to make powder)

Step 3

Heat oil in a kadai, add capsicum and paneer to it.

Step 4

Add salt & sauté on high flame for 2-3 minutes. Remove on a plate & set aside.

Step 5

In the same kadai, heat oil and butter on medium flame.

Step 6

Add bay leaf to it and fry for a few seconds.

Step 7

Add finely chopped tomatoes to it.

Step 8

Add red chili powder, turmeric powder, coriander powder & salt. Let it cook until tomatoes become mushy.

Step 9

Add tomato puree and let it cook for 3-4 minutes.

Step 10

Add about 2 tablespoons of prepared kadai masala and mix well.

Step 11

Add the sauteed vegetables and mix everything well together. Add some water if it's too dry.

Step 12

Crush kasuri methi in your palm and sprinkle all over the curry.

Step 13

Cover and let it cook for 3-4 minutes on low flame.

Step 14

Garnish with fresh coriander leaves.

Step 15

Serve hot with roti or Kulcha.

Step 16

Freshly prepared kadai masala makes the curry intense, aromatic and flavorful.

Step 17

If you like creamy gravy, you can add ¼ cup of fresh cream or soaked cashew paste.

Step 18

You can use fresh homemade paneer or frozen paneer. If you are using frozen paneer, soak in hot water for 15 minutes before use.

Step 19

Instead of fresh kadai masala, you can use garam masala. (but fresh kadai masala is recommended)

Step 20

Sauté vegetables on high flame, so that it remains crunchy.