Paneer represents a South Asian variety of soft cheese prepared by acid and heat coagulation of milk. It is popular throughout South Asia and used in the preparation of a number of several culinary preparations and snacks. It is a rich source of high quality animal protein, fat, minerals and vitamins. Due to availability of different types of milk and variation in milk composition, various techniques have been developed for the production of paneer as per the requirements of the consumers with appreciable improvement in the yield and other quality characteristics. Some of the modifications recommended in the preparation of paneer are discussed in this review. Examples of some 'value-added' paneer have been dealt.