Homemade Paneer in Instant Pot (Indian Cottage Cheese)

4.98 from 40 votes

Make creamy homemade paneer with this easy and hassle-free Instant Pot recipe. With the Instant Pot's convenience and precise temperature control, you can easily create a velvety, smooth paneer with minimal effort and no monitoring required.

Fresh homemade paneer placed in a white bowl.

Why you will love this Instant Pot paneer recipe?

This homemade paneer recipe is easy to follow.
This homemade paneer recipe needs no monitoring, unlike the traditional methods that require constant attention and stirring.
The consistent heat distribution helps in achieving the ideal curd formation, resulting in soft and luscious paneer with a velvety smoothness.

What is Paneer?

Paneer is a fresh Indian cheese made from curdled milk. Being a fresh cheese, it can be eaten straight away, which means no aging or culturing. Paneer has a mild and slightly milky taste and is widely used in Indian cooking. The texture is comparable to firm tofu as it is pressed firmly to remove any water content.

Paneer is an integral part of the vegetarian curry menu in Indian restaurants, and it is used to make several popular Indian curries, be it butter paneer and paneer tikka masala, which is the vegetarian version of butter chicken and chicken tikka masala. It is so versatile and can be used in so many ways - on pizza, as a filling for wraps, or use crumbled paneer to make lasagna.

Ingredients

Milk: Use whole milk or even half and half to make paneer. If you use low-fat milk, it may lose its creamy texture.

Lime/lemon: The acidic agent that causes the milk to curdle and separates the whey and curd, which is the key step to this dish.

Step-by-step instructions

Step 1: Set the Instant Pot to saute mode and add water. Once it heats up, cancel the saute button (image 1).

Step 2: Add full-fat milk and lime/lemon juice (images 2 and 3). Mix it well (image 4).

Step 3: Secure the Instant Pot lid and set the vent to a sealing position. Set it to pressure cook mode (on low pressure) for 3 minutes (image 5). Do a natural release of pressure. Once the pin drops, open the lid (image 6).

Step 4: The milk curdles, and the whey and milk solids are separated. The solids will float on top, and the whey will settle down in the bottom of the pot (images 7 and 8).

Step 5: Carefully pour the curdled milk from the Instant Pot into the muslin cloth. Let it sit for 5-10 minutes. This will ensure all the whey is drained (images 9 and 10).

Step 6: To set the cheese without a press, place the muslin cloth back on the colander. Place a small plate on top and place weights on the plate. Let it sit for 30-45 minutes (image 11).

Step 7: To set the cheese using a paneer press, place the muslin cloth onto the paneer press or tofu press (image 12).

Step 8: Place the lid and place some weights on the top. Let it sit for 30-45 minutes so that all the liquid is drained and the cheese sets well (images 13 and 14).

Step 9: Remove the weights and plate from the muslin cloth. Open the ends of the cloth and transfer it onto a cutting board (image 15).

Step 10: Carefully remove the muslin cloth and cut them into the desired shape (image 16). Homemade paneer cubes are ready for immediate use or storage.

Expert Tips

The first step is to add ½ cup of water to the inner pot of the Instant Pot and heat it. This prevents milk from sticking to the pot and burning.

Use whole milk or half and half for this homemade paneer recipe. If you use low-fat milk, the paneer may lose its creamy texture. Also, do not use UHT milk, as it doesn't curdle.

Make sure the Instant Pot is on Low pressure and not High pressure, as this may burn the milk and impart a burnt flavor to the paneer. Also, do not do a quick release of the pressure, as the milk will overspill from the valve.

It is really important NOT to wash the curdled milk (when curdled using lime/lemon) before setting the paneer. The acidic taste is in the whey and not in the cheese itself. Also, washing the curds will make the cheese crumbly. If the curd cools down, it loses the ability to set well.

If you must wash it, make sure you do it using warm water just for a few seconds. Cold running water will cool the curds down quickly, preventing them from setting.

In this post, I have shown setting it using a paneer press or in a colander. If you have access to a tofu press, you can use it.

If the whey has not separated after pressure release, put in saute and add 1 tablespoon lime juice for 2 minutes.

You can also use white vinegar to curdle milk; however, it may impart an aftertaste. If using vinegar, mix it with ¼ cup of water before using. Also, give it a quick rinse just for a few seconds when using vinegar. Once the whey drips, bring the ends of the cheesecloth together and rinse using warm water for a few seconds.

Recipes to try with homemade paneer

Here are some delicious recipes to make paneer curry at home. These vegetarian curries are made using aromatic spices like bay leaves, green cardamom, cinnamon sticks, cumin seeds, etc., and can be paired with naan or jeera rice.

Also, check out my collection of more Instant Pot paneer recipes.

Recipe FAQs and Troubleshooting

Should I wash the curds before setting the paneer?

NO. It is really important NOT to wash the curdled milk (when curdled using lime/lemon) before setting the paneer. The acidic taste is in the whey and not in the cheese itself. Washing the curds will make the cheese crumbly. If the curd cools down, it loses the ability to set well.
If you use vinegar to curdle the milk, rinse using warm water for a few seconds as vinegar has a stronger aftertaste.

Are paneer and tofu the same?

No. Tofu is made using soy milk, whereas paneer is made using cow or buffalo milk.

How to store fresh paneer in the refrigerator?

Paneer can be stored in the refrigerator and freezer. To store it in the fridge, wrap the paneer block using a damp muslin cloth. Then, place it in an airtight container and refrigerate. It can stay fresh for 3-4 days. You can also immerse it in water and store it. The muslin cloth or water will prevent it from drying.

Can I freeze paneer?

Yes. Paneer freezes very well and can be stored for up to six months in the freezer. Cut the paneer into cubes and place it on a freezer-safe tray. Freeze the cubes for a few hours, then transfer them to a freezer-safe bag or container and store them for up to six months in the freezer. To defrost, place them in hot water for 10 minutes. Drain the water and use it.

Why is my paneer crumbly?

Crumbly paneer means that it has not been set well and has whey content in it.

How to use the whey after the milk curdles?

Whey can be used instead of water to knead dough to make roti or for cooking rice. Use a 1:1 water-to-whey ratio to make Basmati rice or red rice. It can also be used in cooking dals and curries. If you do not want to use it in cooking, it can be used to water plants too.

Is paneer the same as 'chhena' (or 'chana')?

No. Chhena is just unset curdled milk from which the whey is strained. It is usually used to make sweets and desserts. It is very popular in Bengali cuisine and is used to make rasgulla, rasmalai, chanar payesh, gulab jamun, etc. Unset curd is usually rubbed with palms and turned into soft cheese (which is almost like a paste), which is then used in a variety of sweet dishes.

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