This film was produced by Hema Malini, her uncle was credit as producer. Hemaji was working in a film of Mahesh Bhatt called Zameen starring Hema Malini, Kabir Bedi, Anupam Kher, Brando Bakshi and Khushboo. When Zameen was shelved she took Bhatt for Awaargi 1990 and Maarg 1992. Awaargi took about 4 years to complete. Anu Malik composed very good songs and Govinda & Meenakshi Seshadri were paired together for the first time and also Mahesh Bhatt & Govinda worked for first & last time.
When the film was first planned in 1985, Hema Malini'w uncle P. Raghunath approached Amitabh Bachchan for the lead role. Amitabh turned down the role politely, but this did not go down well with Hema. She was hoping Amitabh would agree and when he declined, she would state her disappointment openly. She stated that Amitabh only works with Manmohan Desai and Prakash Mehra now. He should challenge himself and stop dancing around trees with girls old enough to he his daughter. Hema felt Amitabh turned Awaargi down because it was a serious film.
Avtar Gill, Anupam Kher and Satish Kaushik both were in Deewaana Mastana and Awaargi.
Hema Malini wanted Govinda for the film but Govinda kept insisting he did not have the required dates. Word was that Govinda did not want to work with Anil Kapoor. Govinda went to Dharmendra's house to explain his situation. Dharmendra was visibly upset but he understood. This is when the rumour surfaced that Dharmendra had slapped Govinda . Govinda denied the incident .
The lead heroes Govinda and Anil Kapoor would work together again in Deewana- Mastana 1997. While both were love triangles the content were poles apart. One a serious emotional drama, other a pure comedy.