Ginger paste is made from fresh ginger root, where the ginger is peeled, minced, and processed into a thick, aromatic paste. It retains the pungent and slightly spicy flavor of fresh ginger. On the other hand, ginger powder is made from dried and ground ginger, providing a milder, earthy flavor. While both can be used in various recipes, they offer slightly different taste profiles, so choose according to your desired flavor intensity.