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Mushroom Matar Paneer

Mushroom Matar Paneer is a classic and popular Indian dish. This rich and creamy curry is made with fresh mushrooms, green peas (matar) and paneer (cottage cheese), simmered in luscious and spiced onion-tomato gravy.
Prep Time10 mins
Cook Time30 mins
Total Time40 mins
Course: Main Course, Side Dish
Cuisine: Indian
Keyword: matar paneer mushroom masala, mushroom matar paneer ki sabji, mushroom matar paneer recipe, mushroom paneer korma, mushroom paneer peas recipe
Servings: 4 people


  • 250 gms Paneer (Indian Cottage cheese) Cut into cubes
  • 250 gms Mushrooms halved or quartered
  • 1 cup Green peas (fresh or frozen)
  • 2 small Onions chopped
  • 1 medium Tomato chopped
  • 1 tbsp heaped Ginger-Garlic paste
  • 12 -15 Cashewnuts
  • 1 1/2 tbsp Raisins
  • 1/2 tsp Turmeric powder (plus extra for marinating the paneer cubes)
  • 1 tsp Chilli powder
  • 1 tsp Cumin powder
  • 1/2 tsp Coriander powder
  • 1/2 cup Milk
  • 1 tsp Cumin seeds
  • 2 Bay leaves
  • 1 Dried red chilli
  • 1 inch Cinnamom
  • 3-4 Green Cardamom
  • 4-5 Cloves
  • 3-4 tbsp Oil/Ghee
  • 1 tbsp Kasoori Methi
  • 1/4 tsp Garam Masala


  • Heat 2 tbsp of oil/ghee in a thick bottomed pan on medium heat. Add dried red chilli, bay leaves, cinnamon, cardamoms, cloves and cumin seeds.
    Creamy Mushroom Matar Paneer
  • When the cumin seeds splatters, add chopped onions and fry until translucent.
    Mushroom Matar Paneer
  • Then add ginger-garlic paste and fry for 2 mins or until the raw smell disappears.
    Mushroom Matar Paneer
  • Add the chopped tomato along with some salt and sauté until soft and mushy.
    Creamy Mushroom Matar Paneer
  • Next add turmeric, chilli, cumin and coriander powder along with 2 tbsp of water and mix every thing well.
    Creamy Mushroom Matar Paneer
  • When you see the oil separating from the sides of the masala, add the cashew nuts and raisins and mix everything well.
    Creamy Mushroom Matar Paneer
  • Now take it off the heat and let it cool for few minutes. Then make a fine paste of this masala by adding little milk while grinding.
    mushroom matar paneer
  • Marinate paneer with turmeric powder and some salt. In the same pan add 1 tbsp of oil/ghee and fry till golden brown and take it off the heat and keep it aside.
    Creamy Mushroom Matar Paneer
  • Then add in the mushrooms with a pinch of salt and sauté until mushrooms are lightly browned. Take it off the heat and keep it aside.
    mushroom matar paneer
  • Now heat the rest of the oil/ghee, add the masala paste along with the green peas, stirring continuously making sure it does not stick to the bottom.
    mushroom matar paneer
  • Add the rest of the milk and 1 cup of hot water and simmer 3-4 minutes.
  • Now add the sautéed mushrooms and mix everything well.
    mushroom matar paneer
  • Add the panner cubes along with kasoori methi and garam masala powder and mix everything up together and continue cooking for another 2 minutes.
    mushroom matar paneer
  • Finally add chopped coriander leaves and take it off the heat. Serve it hot with parathas, naan or jeera rice.
    mushroom matar paneer


If paneer is not available then you can try making it at home. Homemade paneer(cottage cheese) is very easy and simple to make. 
You can get the step by step method of making Homemade Paneer (cottage cheese) here.