Paneer In Coconut Gravy Recipe

You must try this delicious and creamy Paneer In Coconut Gravy Recipe, where fresh spices are ground along with coconut and cooked in a tomato gravy. Serve it with Phulkas for a quick weeknight dinner.

Anusha Mallajosyula
Paneer In Coconut Gravy Recipe
9329 ratings.

Paneer is widely used in North Indian recipes but we decided to give it a South Indian twist with the addition of coconut. In this recipe of Paneer In Coconut Gravy Recipe, paneer is marinated in a coconut and onion masala and then cooked in classic tomato onion gravy, then finally garnished with crushed kasuri methi.

Try this drool worthy recipe a try and make your weeknight dinner a special one!

Serve this Paneer In Coconut Gravy Recipe along with hot Phulkas or even Jeera Rice along with a Kala Chana Salad to make it a complete North Indian Style Dinner. 

If you like this recipe of Paneer In Coconut Gravy, you should try out a few more Paneer Curries such as:

Course: Dinner
Diet: Vegetarian
Prep in

30 M

Cooks in

15 M

Total in

45 M


3 Servings


  • 2 cups Paneer (Homemade Cottage Cheese) , cut into 1/2 inch cubes
  • 1 Onion , finely chopped
  • 2 Tomatoes , finely chopped
  • 1 teaspoon Garam masala powder
  • Salt , to taste
  • 3/4 Water
  • 2 tablespoons Butter (Salted)
  • For the Coconut Gravy Masala
  • 1 tablespoon Coriander (Dhania) Seeds
  • 1/2 tablespoon Cumin seeds (Jeera)
  • 4 Dry Red Chillies
  • 3 cloves Garlic , finely chopped
  • 1 1/2 inch Ginger , finely chopped
  • 1 Onion , diced
  • 1/3 cup Fresh coconut , grated

How to make Paneer In Coconut Gravy Recipe

  1. To begin making the Paneer In Coconut Gravy Recipe, we need to first prepare the masala for the gravy.

  2. In a heavy bottomed pan, add coriander seeds, cumin seeds and dry red chillies on a low flame. Roast the spices until they turn aromatic. Turn off the flame and allow it to cool. 

  3. In another pan, add one tablespoon of butter. Once the butter has melted, add chopped garlic, ginger and saute until the aroma wafts through the air. 

  4. Next, add the chopped coconut pieces and saute till raw smell of coconut goes away. Finally, add diced onion and fry till they turn translucent, turn off heat and allow it to cool. 

  5. In a mixie jar, add dry roasted spices and grind into coarse powder. To the ground powder, add onion ginger, garlic and coconut mixture and grind smooth into a paste. 

  6. To this ginger garlic onion and coconut mixture, add little salt and mix well. Marinate the diced paneer cubes in this paste for half hour.

  7. In the meantime, in a pan, add remaining butter and saute onions until they turn soft.

  8. Add finely chopped tomatoes and salt. Mix well and cook covered on low heat until the tomatoes turn soft and mushy. 

  9. Mash tomatoes with the back of a ladle and cook till the tomato mixture looks like a paste. Add garam masala and saute until the masala combines well into the mixture. 

  10. To this mixture, add paneer along with the marination, about 1/4 cup of water and mix well. Add salt according to taste.

  11. Cook the Paneer gravy covered on low heat for 5 to 7 minutes. Add little more water to adjust the consistency according to your preference. 

  12. Finally, add kasuri methi to the Paneer In Coconut Gravy recipe and give it all a good mix. Once done turn off the heat and check the spices and salt. Adjust according to taste.

  13. Serve this Paneer In Coconut Gravy along with hot Phulkas or even Jeera Rice along with a Kala Chana Salad to make it a complete North Indian Style Dinner. 

Paneer In Coconut Gravy Recipe is part of the Indian Curry And Gravy Recipe Contest