- Trim any excess fat from the meat and cut into 2cm dice.
- Dice the onion. Cut the capsicum in half and remove the seeds and pith. Set aside a quarter of the capsicum to use as a raw garnish, then cut the rest into medium slices. Blanch, peel and dice the tomatoes.
- Put the oil and onion in a heavy pot and fry gently until the onion softens. Remove from the heat and sprinkle the paprika and caraway seeds over the onion and add the meat.
- Stir and return to medium heat, then fry for a few minutes, stirring constantly to ensure that the paprika does not scorch. Season with salt and add the capsicum and tomatoes.
- Lower the heat, cover tightly and cook over very low heat until the meat is tender. Depending on the cut, this will take between one and two hours. While the meat is cooking, peel and slice the carrot, parsnip and potatoes. When the meat is tender, add the vegetables and enough water to amply cover.
- Simmer until the vegetables are tender. Check the seasoning and add more salt if needed. Just before serving, finely slice the reserved raw capsicum and sprinkle over the gulyás.
- Serve in warm bowls with fresh bread and a dish of spicy paprika at the side.