Chili Paneer Recipe | Bhutanese-Indian Style

Sizzling Bhutanese-Indian Chili Paneer: A Fiery Fusion Feast

Paneer is a fresh cheese made by curdling milk with fruit juice or vegetable acid, such as vinegar or lemon juice. The paneer recipe is common in India.

In Bhutan, we don’t make paneer; instead, we make our own cheese called “Datshi”. The similarity between paneer and Datshi is that both are made up of milk products, but their making procedure are different.

Comparing their making procedure, paneer is easy to prepare and takes less time compared to making Datshi.

If you wish to prepare paneer at home, especially for Bhutanese people, you can search on YouTube. There are so many videos on YouTube made by our Indian friends that are very easy and simple; you will love them.

Likewise, to those who are non-Bhutanese and are interested in making or checking out how Bhutanese people make Datshi, you can Google it.

In Bhutan, we don’t make paneer; instead, we import from our neighbour country, India. It is well packed in a tin but comes at quite a high price. In Bhutan, we don’t cook paneer from time to time; we just cook it on a festive or celebratory occasion.

Recipe Overview

  • Difficulty Level: Beginner to Intermediate, making it accessible for home cooks of all skill levels
  • Prep Time: Approximately 20 minutes, covering chopping, batter preparation, and frying the paneer
  • Cook Time: Around 20 minutes for stir-frying aromatics, simmering the sauce, and tossing the paneer for a glossy, well-coated finish
  • Total Time: About 40 minutes from mise en place to plating, perfect for weeknight dinners or meal prepping
  • Servings: Yields 4 hearty portions, ideal for families or small gatherings
  • Equipment Needed: Wok or large skillet (karahi), mixing bowls, spatula, sharp knife, cutting board, measuring spoons, and cups
ItemDetail
Prep Time~20 min (15–20 min)
Cook Time~20 min (15–20 min)
Total Time~40 min
Servings4

Ingredients List

Below is a categorized list of all ingredients you’ll need to make this fusion Chili Paneer, complete with precise measurements for foolproof results.

Paneer & Cheese

  • 250 g paneer, cut into 1 cm cubes for even frying and a tender bite
  • 50 g datshi cheese (or extra paneer), folded into the sauce to evoke authentic Bhutanese ema datshi creaminess

Batter & Coating

  • 3 T cornstarch and 3 T all-purpose flour to create a light, crispy crust
  • ½ t salt and ¼ t black pepper for basic seasoning
  • Water (just under ½ cup) to bind the batter into a smooth, clingy paste

Sauce Components

  • 2 T soy sauce (use 1 T regular + 1 T dark for depth)
  • 1 T rice vinegar for bright acidity
  • 3 t chili sauce (green or red) for balanced heat
  • 2 T tomato ketchup to round out the sweetness and body
  • ½ t sugar to harmonize spicy, salty, and tangy notes

Aromatics & Veggies

  • 4 cloves garlic, finely minced to infuse savory depth
  • 1″ piece ginger, peeled and minced for warm spice
  • 2 green chilies, slit lengthwise to deliver fresh chili kick
  • 1 small onion, chopped into bite-sized pieces for sweetness and crunch
  • 1 bell pepper (any color), diced for vibrant color and texture

Finishing Touches

  • Spring onions, chopped (white + green parts) for a fresh, zesty garnish
  • Cilantro (optional), roughly chopped to add herbal brightness

Ingredient Substitutions

PurposeSubstitute Options
VeganFirm tofu (250 g, cubed) + vegan cheese (50 g)
Low-SodiumReduced-sodium soy sauce (e.g., Kikkoman Less Sodium) Use ¼ t less salt in batter & stir-fry

This comprehensive ingredients list ensures you have every component at hand, whether you stick to the classic paneer or tailor the recipe for vegan or low-sodium needs, so your Easy Chili Paneer comes out perfectly every time.

Step-by-Step Instructions

In this step-by-step guide to making Easy Chili Paneer, you’ll learn how to prep and fry paneer for a crisp exterior, whip up a flavorful Indo-Chinese–Bhutanese fusion sauce, sauté vibrant aromatics, meld cheese with chili for a creamy-spicy finish, toss everything to perfection, and garnish for a restaurant-quality presentation.

Prep the Paneer

Toss 250 g cubed paneer in a mixture of 3 T cornstarch, 3 T all-purpose flour, salt, pepper, and just enough water to coat evenly; then shallow-fry in hot oil until each cube turns light golden and crisp—this creates the signature crunchy bite of Chili Paneer.

Make the Sauce

In a small bowl, whisk together 2 T soy sauce, 1 T rice vinegar, 3 T chili sauce, 2 T tomato ketchup, ½ t sugar, and 2 T water; set aside. This balanced blend of salty, tangy, sweet, and spicy elements forms the backbone of your chili-cheese fusion.

Sauté Aromatics & Veggies

Heat 1 T sesame oil in a wok on high heat and stir-fry 4 minced garlic cloves, 1″ minced ginger, 2 slit green chilies, 1 chopped onion, and 1 diced bell pepper until just tender-crisp—about 2–3 minutes—to preserve color and develop vibrant flavor.

Create the Cheese-Chili Fusion

Pour the prepared sauce into the wok and add 50 g small datshi cheese cubes (or extra paneer); simmer gently until the cheese melts and the sauce thickens into a glossy coating, marrying Bhutanese “chili cheese” richness with Indo-Chinese tang.

Combine & Toss

Return the fried paneer cubes to the wok, tossing continuously on high heat for 1–2 minutes to ensure every piece is evenly coated in the flavorful sauce without becoming soggy.

Garnish & Serve

Sprinkle chopped spring onions and a handful of fresh cilantro over the Chili Paneer, then serve immediately while hot and crispy—perfect alongside steamed rice, hakka noodles, or Bhutanese red rice for a complete meal.

Check out the video on how to make Chilli Paneer at home

And half of the Bhutanese people don’t know how to prepare paneer dishes. If you don’t know, don’t worry, I am here to help you make a very easy and simple paneer recipe without any masala in it.

Nutritional Information

Our Easy Chili Paneer delivers a balanced nutrient profile with approximately 310 kcal per serving—lower than many restaurant-style versions—thanks to lean pan-frying and a light sauce.

Each portion packs about 16 g of protein, making it a satisfying, plant-based protein boost for vegetarians and meat reducers. With roughly 20 g of carbohydrates, it provides steady energy from the paneer’s minimal carbs and the sauce’s mild sweetness.

At about 18 g of fat, mostly from paneer and sesame oil, it strikes a creamy-yet-light balance that feels indulgent without overloading on grease.

Chilli Paneer Recipe
Chili Paneer Recipe | Bhutanese-Indian Style 2

Nutritional Information

A standard serving of Easy Chili Paneer delivers a well-balanced macronutrient profile, averaging around 310 kcal per portion, with approximately 16 g of protein, 20 g of carbohydrates, and 18 g of fat.

These values represent an average between lighter home-style versions (≈294 kcal) and richer restaurant-style recipes (≈366 kcal).

Protein content typically falls between 15 g and 20 g per serving, fueled by paneer’s dense dairy protein.

Carbohydrates tend to range from about 15 g to 17 g (from batter, sauce, and veggies), rounded here to 20 g to account for sauce variations.

Fat content varies widely—17 g to 27 g, depending on oil and cheese, averaging roughly 18 g in a home-cooked version.

Substituting firm tofu or low-fat cottage cheese significantly lowers calories and fat while maintaining protein, making this recipe adaptable to vegan or low-fat diets.

Per Serving (approx.)

NutrientAmount per Serving
Calories310 kcal
Protein16 g
Carbohydrates20 g
Fat18 g

Note on Variations

  • Vegan Tofu Option: Swap paneer for firm tofu—per 100 g, tofu has 144 kcal, 17.3 g protein, 8.7 g fat, and 2.8 g carbs—yielding a lighter, plant-only profile.
  • Low-Fat Cheese: Use low-fat cottage cheese instead of datshi—100 g provides only 98 kcal and 4.5 g fat, cutting overall fat and calories significantly.
SubstitutionCaloriesProteinCarbsFat
Vegan (100 g firm tofu)83 kcal8 g2 g5 g
Low-Fat Cottage Cheese (100 g)72 kcal12.4 g2.72 g1.02 g

Values will shift with different brands, oil amounts, or sauce tweaks, but this table offers a reliable baseline for meal planning and nutrition tracking.

Storage & Reheating

Proper storage in an airtight container keeps your Chili Paneer fresh for up to five days in the refrigerator, and gentle reheating—whether in a lightly oiled wok or the microwave—helps maintain the paneer’s crisp coating and cheese’s creamy texture.

  • Refrigerate
    Transfer cooled Chili Paneer into an airtight container and chill immediately. Stored this way, it stays safe and flavorful for up to 5 days.
  • Reheat
    • Stovetop (wok): Warm in a lightly oiled wok over low–medium heat for 3–4 minutes, stirring occasionally to revive the crisp exterior without overcooking the paneer.
    • Microwave: Place in a covered, microwave-safe dish and heat on medium power in 30-second increments, stirring between bursts to ensure even warming and preserve the cheese’s texture.
ActionMethodNotes & Timing
RefrigerateAirtight containerUp to 5 days
Reheat (stovetop)Wok, low–medium heat3–4 min, stir occasionally
Reheat (microwave)Covered, microwave-safe dishMedium power, 30 s increments, stir between each

Serving Suggestions & Pairings

Complement your Easy Chili Paneer with complementary sides and drinks that elevate every bite. For an authentic Bhutanese twist, serve it alongside Bhutanese red rice, a semi-milled, nutty medium-grain staple that soaks up the creamy chili-cheese sauce and adds genuine Himalayan flair.

If you’re craving an Indo-Chinese spin, steamed jasmine rice offers a neutral, fluffy base that balances the heat and prevents the dish from feeling too heavy, while Hakka noodles deliver a springy, savory contrast and are traditionally paired with chili paneer in Desi-Chinese cuisine.

To wash it all down, a light lager—think crisp European-style pilsners—acts as a palate cleanser, its carbonation and subtle malt sweetness taming spice without intensifying it.

For a non-alcoholic option, fragrant jasmine green tea brings floral, antioxidant-rich notes that soothe the palate and complement the dish’s bold flavors.

AccompanimentWhy It Works
Bhutanese Red RiceNutty, semi-milled grain that soaks up cheesy chili sauce and adds authentic Bhutanese flair
Steamed Jasmine RiceMild-flavored base that balances heat and prevents dryness
Hakka NoodlesTextural contrast and savory depth; classic Indo-Chinese side with chili paneer
Light LagerCrisp, carbonated palate cleanser that tames spice without amplifying heat
Jasmine Green TeaFragrant, floral notes that refresh and complement spicy, savory flavors

Dietary Modifications

Embracing dietary modifications ensures that everyone, from vegans to gluten-sensitive cooks, can enjoy this fusion Chili Paneer without sacrificing flavor or texture.

Below are expert-backed swap suggestions, complete with nutrient highlights and practical notes.

• Vegan

Swap the paneer–dashi cheese duo for firm tofu and vegan cheese to create a fully plant-based Chili Paneer.

  • Firm tofu (100 g): 144 kcal, 17.3 g protein, 2.8 g carbs, 8.7 g fat
  • 100 g paneer (for comparison): 321 kcal, 25 g protein, 3.6 g carbs, 25 g fat
  • Vegan cheese (28 g slice): 70 kcal, 0 g protein, 2 g carbs, 3.5 g fat
IngredientServing SizeCaloriesProteinCarbsFat
Paneer100 g321 kcal25 g3.6 g25 g
Firm Tofu100 g144 kcal17.3 g2.8 g8.7 g
Vegan Cheese28 g slice70 kcal0 g2 g3.5 g

Tip: Choose nut- and seed-based vegan cheeses for slightly higher protein and lower saturated fat .

• Gluten-Free

Replace the all-purpose flour in the batter with any gluten-free flour blend (rice, almond, chickpea, or coconut). Use tamari instead of soy sauce to guarantee a wheat-free sauce.

  • Coconut flour: high in fiber, moderate protein—promotes satiety and a light crumb
  • Tamari: a naturally wheat-free soy sauce alternative with a richer flavor and slightly less sodium than regular soy; check labels for “gluten-free” certification

• Low-Sodium / Low-Fat

Cut back on salt and overall fat by tweaking the sauce and cheese:

  • Reduced-sodium soy sauce: just 8 kcal per tbsp, with up to 40% less sodium than standard versions
  • Light cheese (e.g., part-skim mozzarella): 80 kcal and 7 g fat per 28 g serving, vs. 110 kcal and 9 g fat in full-fat varieties.

These targeted swaps keep the essence of Chili Paneer intact—creamy, spicy, and satisfying—while adapting to diverse dietary needs and boosting the recipe’s SEO appeal with “vegan chili paneer,” “gluten-free Indo-Chinese,” and “low-sodium paneer recipe.”

FAQs

What is ema datshi, and why is it used in this recipe?

Ema datshi is Bhutan’s signature chili-and-cheese stew, renowned as the country’s unofficial national dish. It brings authentic Bhutanese “chili cheese” depth to the Chili Paneer sauce.

Can I substitute tofu for paneer in this recipe?

Yes—swap 250 g paneer for firm tofu and use vegan cheese to keep creaminess. This vegan option cuts saturated fat while preserving texture.

How do I store and reheat leftovers?

Refrigerate in an airtight container for up to 5 days. Reheat gently in a wok over low-medium heat for 3–4 minutes or in 30-second microwave bursts to retain crispness.

What side dishes pair best with Chili Paneer?

For authentic flair, serve with Bhutanese red rice; for Indo-Chinese style, steamed jasmine rice or Hakka noodles work beautifully.

Is this recipe gluten-free?

Use a 1:1 gluten-free flour blend and tamari in place of soy sauce to make the batter and sauce wheat-free

Conclusion

This Easy Chili Paneer recipe proves that fusion cooking can be both accessible and downright thrilling—melding the rustic soul of Bhutan’s ema datshi with the electrifying snap of Indo-Chinese paneer.

You’ll start by battering paneer cubes in a light cornstarch-and-flour mix, pan-frying to achieve that coveted golden crisp. A swift sauce made from soy, vinegar, chili sauce, and ketchup then simmers with datshi cheese (or extra paneer), creating a luxuriously tangy spinach coating that clings to each cube.

Aromatics like garlic, ginger, and green chilies sizzle in sesame oil, infusing the dish with warmth and fragrance, while vibrant bell peppers add color and crunch. Whether you serve it atop nutty Bhutanese red rice, soft jasmine grains, or chewy Hakka noodles, the result is a visually stunning, palate-pleasing medley of textures.

For dietary flexibility, tofu-and-vegan-cheese swaps or gluten-free tweaks ensure everyone can indulge without guilt.

Finally, strategic plating with spring onions and cilantro transforms this home-cooked wonder into a restaurant-worthy spectacle that dazzles both the eyes and the taste buds. Try it tonight—and watch your dinner companions fall in love with this creamy-spicy fusion sensation.

You can also check out our other Bhutanese Dishes:

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