In Amritsar, an Indian queen (4)
I believe the answer is:
rani
'queen' is the definition.
(historical term for a Hindu queen)
'in amritsar an indian' is the wordplay.
'in' indicates a hidden word.
'RANI' can be found hidden inside 'amritsar an indian'.
(Other definitions for rani that I've seen before include "Hindu queen or princess" , "Royal Indian female" , "Raja's wife" , "Indian princess" , "Rajah's wife from Iran" .)