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The name ‘Nan Khatai’ comes from 2 different parts of the world. ‘Nan’ means ‘bread’ in Persia, and ‘Khatai’ is a reference to China, from the word ‘Catai’ which was the older name for China. Thus, it translates to ‘bread of China’. Earlier ammonium bicarbonate was used to make these cookies instead of baking soda, and ammonium bicarbonate was extensively used in China, to make almond cookies and steamed buns, that’s why perhaps the China reference in the name.
Nan Khatai has an interesting history. In the 16th century, Dutch explorers Van Houtman and Van Neck started to make trading posts in India for trade in spices. Surat was one of the occupied port city. Dutch set up a bakery in Surat to produce bread for their consumption. When the Dutch left India, they handed over the bakery to one of their trusted employees named Dotivala. He was to continue baking bread for the Dutch being left behind. The bakery became 'Dotivala Bakery'. But the demand for the bread kept declining as more Dutch people left India.
So he kept innovating, and introducing new items, for survival. He modified recipes to suit the Indian tastes, and sold them at his bakery. He took the ‘Dutch butter biscuit’ and turned it into ‘Farmasu’ or ‘Surti Batasa’, he took the ‘Puff Pastry’ and made ‘Khari biscuit’ out of it, and then he combined the features of the ‘Surti Batasa’ and a local sweet called ‘Dal’ and created ‘Nan Khatai’.
Some historians assert that the name Nan Khatai reflects the recipe, where Nan stands for bread, and Khat referes to the six ingredients that were used in the original recipe: flour, ghee, sugar, palm toddy, eggs and almonds. Later palm toddy was dropped, as people thought it maybe intoxicating, and avoided the biscuit, and also eggs were done away with, as most people in that region, who are called Gujaratis were vegetarians.
There are a lot of Gujarati people living in Bombay, so the nan khatai is transported to Bombay extensively, and now it is a favourite tea-time snack in Bombay. That’s where I had it first.
Learn how to make your own Nan Khatai here.