This present research paper discusses about the fabrication of metal matrix composite coating on AZ31B magnesium alloy substrate with Al, Co and TiN mixed precursor powders by gas tungsten arc (GTA) cladding process. Firstly, Co and TiN powders were mixed properly in the ratio of 1:1. Thereafter, three samples with different compositions of 20 wt% (Co + TiN)), 25 wt% (Co + TiN)), 30 wt% (Co + TiN)) and balance aluminium powder were developed by preplaced technique. The samples were heated by TIG torch at the optimized parameter as current of 110 Amp, voltage of 25 V, welding speed of 4.23 mm/s and thermal energy of 3.12 kJ/cm. After melting and solidification metallurgical bonding between coating and substrate occurs. The microstructure and chemical composition of the coated samples were analysed by field emission scanning electron microscope (FESEM) and energy dispersive spectroscopy (EDS) respectively. The micro hardness of coated samples were analysed by Vickers micro hardness testing. It was found that with increase in percentage content of Co + TiN the amount of microhardness increases. Furthermore, it was found that the value of maximum microhardness was 422 HV0.1, which was nearly seven times higher than that of the magnesium alloy substrate (64 HV0.1).