Django template engine is part of the Django framework and it is easy, extendible and handy in developing complex web applications. 

A template is a TEXT document or Python string marked-up using the Django template language. It can generate any text-based format like HTML, XML, CSV, ETC. 

Being a web framework, Django requires a convenient way to generate HTML dynamically. A template is the most common approach to rely on. The template contains static parts of desired HTML output and some special SYNTAX describing how dynamic content can be inserted. 

A Django project can be CONFIGURED with or without a template. You can configure one or more template engines. Django provides a standard API for loading or rendering templates irrespective of the backend.  Loading template consists of searching the template for a given identifier and processing it and mostly compiling it into in-memory representation. Rendering means interpolating the template with context data and return the resulting string. django.template.Context is a context class and its CONSTRUCTOR takes TWO arguments, one is a dictionary mapping variable name to variable values and second is the name of the current application.

The template contains variables and template is evaluated these variables get replaced with values.