About Kadai Paneer Kadai paneer is a simple yet amazingly flavorful paneer dish made by cooking paneer and bell peppers with fresh ground spices known as kadai masala. It is called as kadai paneer since it is cooked in a special Indian wok called kadai, which is a basic kitchen essential of Indian Cuisine. However the dish can be prepared without a kadai just like the way I cooked it in a regular pan. How is Kadai Masala made? Kadai masala is a unique blend of spices specially used to make kadai dishes. It is much more flavourful and stronger than the regular garam masala that is used in regular Indian cooking. Kadai masala is made with coriander seeds, red chilies, cloves, cardamoms, cinnamon & fennel seeds.