In the bargain, the quality has hit rock bottom.
The Aspiring Minds employability study had found that states with fewer engineering colleges produced more employable engineers.
There is therefore an inverse correlation between quantity and quality.
Prakash of Educomp says that it is a highly regulated sector where colleges often cut corners to stay afloat.
AICTE fixes the admission norms, the fees that colleges can charge and the salaries they can pay their teachers.
"It's a business where the input costs as well as the output costs are controlled," says Prakash who runs an engineering college in Greater Noida.
As a result, the infrastructure of many new colleges is poor and the faculty inexperienced.
Worse, everybody involved seems to acknowledge it.
"Do they (the new engineering colleges) have trained and skilled faculty to teach modern courses," Madhya Pradesh's director of technical education, Arun Nahar, asks.
Several schools have hired those former students as teachers who failed to get jobs outside. Badam Singh Yadav, who runs the IES Colllege of Technology in Bhopal, says most of his time is spent grappling with government rules and solving the "petty" issues of his students.
"Does anybody care," he says with fair bit of irritation, "that most of our students come from a rural background?"