You know those sauces that don’t just sit on your plate; they change the whole meal? Red chile powder sauce is one of them. Deep, smoky, earthy, and fiery, this bold red beauty transforms everything it touches. This sauce enhances the flavor of enchiladas, tacos, burritos, and even eggs.
Made from pure red chile powder (not the generic “chili powder” blend), this sauce packs that authentic New Mexican or Mexican-style flavor that’s hard to replicate with store-bought versions.
Fortunately, there is good news! You don’t need to chase down a specialty jar. In this article, I’ll show you how to make red chile powder sauce at home, step by step.

What Is Red Chile Powder Sauce?
Red chile powder sauce is a delicious, mildly spicy, and earthy sauce prepared primarily from pure ground dried red chiles like Hatch, Anaheim, or New Mexican. It’s a traditional ingredient in many New Mexican meals, including enchilada sauces, smothered burritos, huevos rancheros, and Carne Adovada.
The only ingredient in authentic red chile powder is finely ground dried red chile pods, rather than the mixtures of spices in store-bought chili powders. As so? The outcome is a sauce full of chili taste, not simply generic heat.
How to Make DIY Red Chile Powder Sauce at Home?
Ready to make this sauce? Let’s check the ingredients first.
Ingredients You’ll Need
Here’s what you’ll need to whip up a smooth, homemade red chile sauce from powder; each one plays a role in balancing heat, earthiness, and depth:
- Red Chile Powder
4 tablespoons of Hatch or New Mexico chile powder is preferred. This is the main attraction. Make sure it’s pure chili powder, no cumin or fillers.
- Garlic
Two cloves of minced garlic add aromatic depth and warmth.
- Onion
Take two tablespoons of finely chopped onion. This adds a natural sweetness to the base flavor.
- Olive Oil
We use one tablespoon of olive oil to sauté the aromatics and impart flavor.
- All-Purpose Flour
All-purpose flour gives the sauce that smooth, clingy texture. Just 1 tablespoon does the job.
- Vegetable or Chicken Broth
Two cups of vegetable or chicken broth serve as the liquid base that balances the spices and combines all the ingredients.
- Ground Cumin
It will add a slight smokiness if you wish a more earthy taste. Half a teaspoon (optional) is needed.
- Salt
Adding salt to taste is essential, as it enhances the flavor of the chili.
- Oregano
This adds a fragrant herbal finish that complements the chile perfectly. ½ teaspoon of Mexican oregano is preferred.
How to Make Red Chile Powder Sauce (5 Simple Steps)?
Step 1: Sauté The Aromatics
In a saucepan over medium heat, add olive oil. Sauté the onions and garlic until soft and fragrant, about 2–3 minutes.
Step 2. Stir in the flour.
After that, add the flour and stir for an additional minute. This produces a light roux that smooths your sauce.
Step 3. Add the chile powder.
Then, combine the red chile powder with the cumin, if you are using it.
Note: Stirring continually helps gently toast the powder, enhancing the natural oils and the deeper taste of the chile.
Step 4. Whisk in the broth.
After that, pour this mixture into the broth and continue whisking to prevent lumps. Then add oregano and salt. Bring the sauce to a gentle simmer.
Step 5. Simmer And Blend (Optional)
The simmering time should be 10–15 minutes; continue stirring until it thickens.
Tip: You can blend the sauce once it cools slightly if you prefer a smoother finish.
Serving Suggestions
This sauce is not limited to enchiladas; it complements a variety of dishes. Here are some uses of this sauce and how it adds a bold, smoky taste to your everyday foods:
- Tacos: Drizzle much of the sauce over beef or chicken tacos to improve every bite with its rich, spicy heat.
- Burritos: Cover your burritos in this sauce before baking to make them extra saucy and keep every bite wet and flavorful.
- Spoon the sauce over fried eggs, huevos rancheros, or even scrambled eggs to add a bright, spicy kick to your breakfast or lunch.
- Spice up your rice bowls by adding it to them along with beans, roasted vegetables, and fresh herbs. The spicy flavor will bring everything together.
- Marinades: Mix the sauce with fresh lime juice and olive oil to make a smoky, sour marinade that is excellent for chicken, pork, or vegetables. Grill or roast the food until it’s done.
Pro Tips for the Best Flavor
- Use high-quality red chile powder: The flavor starts here; look for Hatch or New Mexico red chile powder online or at Latin markets.
- Taste as you go: Some chile powders are hotter than others, so adjust the broth and seasoning to balance the heat.
- Make it ahead: This sauce stores well in the fridge for up to 5 days, and the flavor deepens overnight.
- Freeze for later: Portion into ice cube trays and freeze, perfect for quick weeknight dinners.

Red Chile Powder Sauce
Ingredients
- 4 Tbsp Red Chile Powder
- 2 Cloves Garlic Minced
- 2 Tbsp Onion Finely Chopped
- 1 Tbsp Olive Oil
- 1 Tbsp All-purpose Flour
- 2 Cups Vegetable or Chicken Broth
- 1/2 Tsp Ground Cumin Optional
- 1/2 Tsp Mexican Oregano
- Salt As per taste
Instructions
- Heat olive oil in a saucepan and sauté chopped onion and garlic for 2–3 minutes until fragrant.
- Add flour and stir constantly for 1 minute to form a light roux.
- Stir in red chile powder and cumin (if using) and toast for 30 seconds.
- Slowly whisk in the broth, then add oregano and salt.
- Simmer for 10–15 minutes, stirring occasionally, until thickened.
- Blend the sauce for a smoother texture, or leave it chunky if preferred.
Nutrition
Final Thoughts
Red chile powder sauce is one of those sauces that you’ll want to memorize after the first taste. Now, you know how to make your own homemade version, which is simpler, more customizable, and delivers bold, authentic flavor.
It tastes like it came straight from a traditional kitchen in New Mexico. Once you make it at home, jarred sauces will no longer suffice. So grab that chile powder, fire up your pan, and let’s turn up the heat, one spoonful at a time.
FAQs
What is Red Chile Powder Sauce Used for?
It is often used as a base for enchiladas, taco toppings, burritos, stews, and egg dishes. It’s extremely versatile.
How is Red Chile Sauce Made From Powder?
By toasting chile powder in oil, adding broth, and seasoning it with aromatics like garlic and oregano. A touch of flour helps thicken the sauce.
Is Red Chile Powder the Same as Chili Powder?
Not at all! Red chile powder is pure ground dried chiles, while chili powder is a blend of spices (usually with cumin, garlic, etc.).