It is one of the oldest frontline airbases of the IAF and was actively involved in both, 1965 and 1971 Indo-Pak conflicts because of its strategic location.

The State Government signed a Memorandum of understanding (MoU) with the Airports Authority of India (AAI) in December 2018 to construct a civil enclave at the air base.

The Government of Punjab will provide 135.54 acres of land by way of its equity in the project, while AAI will bear the costs of developing the airport.

[4][5] On 29 December 2023 the Chief Minister expressed expectations that the initiation of flights from Halwara terminal on 15 February 2024 would contribute significantly to the economic and industrial activities in the region.

He conveyed a strong commitment from the government towards comprehensive development and the prosperity of the state, with a particular emphasis on the anticipated impact of the Halwara airport operations.