Capsicum Masala is a simple rich gravy made with capsicum, onion and tomato base. This recipe is just mildly spiced and creamy because of cashew paste added to it. Capsicum Masala have smooth texture and soft bite with little crunch from the capsicum, and it tastes good with chapati, roti and even mild rice varieties.

You can prepare Capsicum Masala in less time without doing much cutting work, so it is quite suitable for busy days when you want something quick. This recipe can be made when you want a different type of gravy using basic vegetables that is already available at home.
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About Capsicum Masala
Capsicum Masala is made by cooking capsicum in tomato and cashew gravy. This recipe use onion and tomato as the main base. Cashew paste give thickness and smooth texture to the gravy. It is like a restaurant style curry but prepared in simple way at home. Spices are added in small quantity so the flavor stay mild.
Capsicum is sautéed separately for short time before adding into the gravy. This help the capsicum to keep slight crunch and not become too soft. The gravy is cooked until the raw smell of tomato goes completely. That step is important for getting good taste. This recipe does not need too much oil or heavy cream.
This has mild and slightly sweet flavor. You can also add little sugar to balance the tomato sourness. Also the kasoori methi added at the end give nice aroma to the dish. You can also add fresh cream if you prefer little more richness. It is a simple home style curry but still it feel slightly rich when served hot.
I usually make this masala for dinner or for my kids lunch box, and my family enjoy this with chapathi and jeera rice.

Capsicum Masala Ingredients
- Capsicum - I have used cubed capsicum and sautéed it slightly and used. Capsicum gives mild sweetness and little crunch, you can use green or color capsicum as available.
- Onion - I cubed and sautéed for base flavor. It gives slight sweetness and body to the gravy.
- Tomatoes - I have pureed and cooked it well. Tomato forms the main gravy and gives tangy taste.
- Cashews - I soaked them and grind it to smooth paste. It gives creamy texture and thickness, you can replace with almonds if needed.
- Red chilli powder - I have added for color and spiciness. You can increase or reduce according on your spice level.
- Coriander powder - I added for basic masala flavor. It balances the tomato taste in gravy.
- Garam masala powder - I added for flavor and slight aroma. Add only little so it does not overpower.
- Kasoori methi - I added light restaurant flavor at the last stage. Crush it slightly before adding.
- Sugar - This optional but helps to reduce sourness of tomato. Add small pinch only.
- Crushed garlic - I sautéed in oil at beginning. It gives strong base flavor and nice smell.
- Cumin seeds - I added for tempering in hot oil. It gives earthy taste to the gravy.
- Oil - I used for sautéing and cooking masala. Use regular cooking oil.
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How to make Capsicum Masala Step by Step
1.Soak cashews in hot water for few minutes, then grind it to a fine paste

2.Puree tomatoes and set aside. In a pan heat oil add capsicum and onion saute for 2 minutes, set aside.

3.In the same pan add crushed garlic and jeera, let it crackle and saute for a minute. Then add tomato puree.

4.Add red chilli powder, coriander and garam masala powders. Let it boil in low flame until raw smell leaves.

5.It will take at least 10-12 minutes for the raw smell to leave. Once raw smell leaves and the mixture is thick add salt and cashew paste.

6.Dilute with little water and let the gravy boil. Add sugar.

7.Finally add onion capsicum, cook for 2 minutes. Garnish with kasoori methi and switch off.

Serve with phulka or roti nan.

Expert Tips
- Soaking - I soak the cashews in hot water before grinding. This makes paste smooth and gravy turns creamy.
- Cook tomato - Let tomato puree cook in low flame until raw smell leaves. If not cooked well gravy may taste little sour.
- Do not overcook capsicum - Sauté capsicum only for two minutes. If cooked too much it may become soft and lose crunch.
- Control flame - Always cook in medium flame. Very high flame may burn masala at bottom.
- Kasoori methi - I add crushed kasoori methi only at last and switch off. This keeps aroma fresh.
Serving and Storage
Serve with chapathi, roti or jeera rice. This goes well with ghee rice also. Store leftover gravy in refrigerator for two days. Reheat in pan and add little water if thick. Stir well and serve warm.
FAQS
1.Can I skip cashews?
Yes you can skip but gravy will not be creamy. You can add little fresh cream instead.
2.Can I add paneer to this gravy?
Yes you can add paneer cubes along with capsicum. It will make the curry more filling.
3.Why does my gravy taste sour?
Tomatoes may be very sour or not cooked enough. Add small pinch sugar and cook little more.
4.Can I make this more spicy?
You can increase red chilli powder as per taste. Add slowly and check before adding more.
5.Can I prepare the gravy earlier?
Yes you can prepare the base and store in fridge. Add sautéed capsicum while reheating before serving.

If you have any more questions about this Capsicum Gravy Recipe do mail me at sharmispassions@gmail.com. In addition, follow me on Instagram, Facebook, Pinterest, Youtube and Twitter .
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📖 Recipe Card
Capsicum Masala Recipe (Capsicum Curry)
Ingredients
- ½ cup capsicum (cubed)
- ¼ cup big onion (cubed)
- 2 medium sized tomatoes
- 2 tablespoon cashews broken
- 1 teaspoon red chilli powder
- ½ teaspoon coriander powder
- ¼ teaspoon garam masala powder
- ¼ teaspoon kasoori methi
- salt to taste
- ½ cup water
- ¼ teaspoon sugar optional
To temper:
- 1 heaped teaspoon crushed garlic
- ½ teaspoon jeera
- 2 teaspoon oil
Instructions
- Soak cashews in hot water for few mins, then grind it to a fine paste.
- Puree tomatoes and set aside.
- In a pan heat oil add capsicum and onion saute for 2mins,set aside.
- In the same pan add crushed garlic and jeera, let it crackle and saute for a minute. Then add tomato puree.
- Add red chilli powder, coriander and garam masala powders. Let it boil in low flame until raw smell leaves.
- It will take at least 10-12mins for the raw smell to leave. Once raw smell leaves and the mixture is thick add salt and cashew paste.
- Dilute with little water and let the gravy boil. Add sugar.
- Finally add onion capsicum, cook for 2mins. Garnish with kasoori methi and switch off. Relish Capsicum Gravy with rice meal or roti!
Notes
- Soaking - I soak the cashews in hot water before grinding. This makes paste smooth and gravy turns creamy.
- Cook tomato - Let tomato puree cook in low flame until raw smell leaves. If not cooked well gravy may taste little sour.
- Do not overcook capsicum - Sauté capsicum only for two minutes. If cooked too much it may become soft and lose crunch.
- Control flame - Always cook in medium flame. Very high flame may burn masala at bottom.
- Kasoori methi - I add crushed kasoori methi only at last and switch off. This keeps aroma fresh.







Subasri Gautham
If we are adding mushroom to it at what step we have to add
Sharmilee J
Saute and add it when we add capsicum
DDD
Hai Sharmi, I did this today, it came out yummy, thank you 😊
Seema
Came out really good.