Indonesian Spicy Peanut Sauce

Indonesian Spicy Peanut Sauce

This is a very popular dipping sauce for Batagor (Indonesian street food, image above), fried and grilled meats, and steamed vegetables. To make this authentic peanut sauce, the peanuts must be finely ground in an electric blender.

Recipe for Indonesian Spicy Peanut Sauce


  • 1-2 tbsp cooking oil
  • 1 shallot, peeled and finely chopped
  • 2 cloves garlic, peeled and finely chopped
  • 90 g unsalted peanuts, finely ground
  • 1 tbsp shrimp paste
  • 1 tbsp palm sugar
  • 1 tbsp tamarind paste
  • 1 tbsp Indonesian sweet soy sauce
  • 1 tbsp chilli powder
  • 285 ml water


  1. Heat oil in a heavy saucepan, stir in shallot and garlic, and cook until golden brown.
  2. Add ground peanuts, shrimp paste and sugar.
  3. Continue to fry for 3-4 minutes until peanuts begin to colour and release some oil.
  4. Stir in tamarind paste, sweet soya sauce and chilli powder.
  5. Add water and bring mixture to the boil.
  6. Reduce heat and boil gently for 15-20 minutes, until mixture has reduced and thickened.
  7. Leave mixture to cool, then pour into an electric blender and whiz to a smooth sauce.
  8. It may be kept in refrigerator, covered, for a week.
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  1. Sophie @ Paris parking

    I bet they taste great. The colour looks great and they would be great to be served in parties.

  2. Singapore Local Favourites

    This is a simple recipe and very tasty! Finding a simple recipe was not easy!