Fossil fuels are not only polluting and costly but also getting exhausted very fast. Production of bio-fuels, therefore, is gaining worldwide importance. Ethanol for blending with petrol can be made from sugarcane, sugar beat, sweet sorghum etc. Vegetable oils are emerging as feasible source for blending with diesel oil. In India, there is vast scope for the production of non-edible oil seeds from species like Jatropha, Karanja, Sal, Mahua, Salvadora etc. They can be grown in problem soils and wastelands.