The Indian biodiesel and biofuels industries are still at a nascent stage, although they have immense potential for growth. With the country being largely dependant on use of fast depleting sources such as fossil fuels for its energy requirements, the need for alternative sources of energy such as biofuels has become very significant lately. Biodiesel and bio-ethanol are sub-categories of biofuels and are excellent sources of renewable energy. They have also gained global acceptance since they are low on pollutants and are carbon neutral in nature. However, commercial biodiesel production is yet to start in a major way in India. Various factors such as mass acceptance among farmers and mass production limitations are major obstacles to the growth of this industry. Prices of products such as bio-ethanol are yet to become competitive as compared to similar products in its category. In India, biofuel development is mainly based on the commercial cultivation of the ‘Jatropha’ plant seeds. These are used in production of biodiesel that can be used even without refining in diesel engines and generators, providing an excellent source of alternative energy. Hide this