Probably, Dr. Rudolf Diesel could foresee the vegetative sources as he built the first diesel engine in 1885.  He first displayed his engine at the Paris show of 1900 and astounded everyone when he ran the patented engine on any hydrocarbon fuel available - which included gasoline and peanut oil. Scientists discovered that the viscosity of vegetable oils could be reduced in a simple chemical processes. The resultant fuel out of these simple reactions was called Bio- Diesel. Since then the technical developments have largely taken place in making plant oils.

 Plant oil is highly valued as Bio fuel. It can be used in three possible ways. Firstly, as it is crushed. It can be used in cars without refining. It can be used in second way by blending it with normal diesel to use in the car. Thirdly, it can be refined and used like pure diesel. Refined form can also be exported anywhere in the world. Hence, Bio Diesel cab be used as a substitute for, or an additive to, diesel fuel that is derived from the oils and fats of plants, like Sunflower, Canola or Jatropha.
 
            It is an alternative fuel that can be used in diesel engines and provides power similar to conventional diesel fuel. Recent environmental and economic concerns (Kyoto Protocol) have prompted resurgence in the use of bio-diesel throughout the world. In 1991, the European Community, (EC) Proposed a 90% tax reduction for the use of bio-fuels, including bio-diesel. Today, 21 countries worldwide are producing Bio-diesel.

The process of converting vegetable oil into biodiesel fuel is called Trans-esterification. Chemically, Trans-esterification means taking a triglyceride molecule or a complex fatty acid, neutralizing the free fatty acids, removing the glycerin, and creating an alcohol ester. This is accomplished by mixing methanol with sodium hydroxide to make sodium methoxide. This liquid is then mixed into the vegetable oil. After the mixture has settled, Glycerin is left at the bottom and methyl esters, or bio-diesel is left on top and is washed and filtered. The final product Bio Diesel fuel, when used directly in a Diesel Engine will burn up to 75% cleaner then mineral oil Diesel fuel.

The cost of Bio Diesel is largely dependent on the choice of feedstock and the size of the production facility. If Jatropha feedstock is used, the fuel will cost depending on the country is approximately US $ 0.40 per liter plus taxes when applicable.

In India due to insufficient edible oils, the non-edible oils are used for the production of bio diesel. As per the policy of Indian government and Indian technological availability some development works have been carried out with regards to the production of trans-esterified non edible oil and its use in bio-diesel by units such as Indian Institute of Science, Bangalore, Tamil Nadu Agriculture University, Coimbatore and Kumaraguru College of Technology in association with Pan horti consultants, Coimbatore. Generally, a blend of 5% to 20% is used in India (B5 to B20). Indian Oil Corporation has taken up Research and Development work to establish the parameters of the production of trans-esterified Jatropha Vegetable oil and use of bio diesel in its R&D center at Faridabad. Research is carried out in Kumaraguru College of Technology for marginally altering the engine parameters to suit the Indian Jatropha seeds and to minimize the cost of trans-esterification.

Initially 5% of the bio diesel was blended with High-speed diesel and later this proportion was increased to 20%. Indian railways and Indian oil corporation has successfully used 10% blended bio-diesel fuel in train running between Amritsar and New Delhi in the month of Feb 2003. At Kumaraguru College of Technology an auto rickshaw was run on pure bio-diesel (B100) prepared from Jatropha oil.

As a substitute for the fast depleting fossil fuels, Bio diesel has come to stay. The main forces in favour of the Bio-diesel program in India are large size of its rural economy, energy self-sufficiency and environmental concerns. Diesel consumption in India is about five times higher than gasoline. The cost of diesel fuel is high due to high crude oil price and processing cost. Hence, it is indeed necessary to take policy decisions in the country to fulfill future demand for diesel fuel in view of improving fuel quality and stringent emission norms.
            In future, it should also serve to reduce and maintain the price of automobile fuel. The under exploited and unexploited vegetable oils are good sources of biofuel. Our country is endowed with many such plants. Research is being carried out now to convert vegetable oils into bio-diesel through biotechnological processes using bio-diesel. Wide use of bio diesel in our country is going to be a reality in the days to come.
            A national mission on Bio-Diesel has already been proposed by the committee comprising six micro missions covering all aspects of plantation, procurement of seed, extraction of oil, trans-esterification, blending & trade, and research and development. Diesel forms nearly 40% of the energy consumed in the form of hydrocarbon fuels, and its demand is estimated at 40 million tons.
Therefore, blending becomes the important National Issue which apart from giving the dividends, it saves the country's exchequer. India has vast stretches of degraded land, mostly in areas with adverse agro- climatic conditions, where species of Jatropha can be grown easily. This in turn shall be a boon to rural economy.