Rapid escalation of fuel prices and depleting hydrocarbon resources of the world have forced us to look for alternative fuels, which can satisfy the ever-increasing demands of energy as well as protect the environment by repressing the level of noxious pollutants. There are more than 6.5 million diesel engines being used in the Indian agricultural sector. For various activities it is impossible to do away with these existing systems and hence alternative fuels must be expeditiously sought. Biodiesel can serve as a perfect alternative against fossil fuels like petrol and diesel. Biodiesel, which are based on agricultural products are clean, renewable and are readily available. They can be used to run CI engines used in commercial sector, agricultural sector and domestic purposes. The present study was done to visualize the potential of castor biodiesel as an alternative fuel in diesel engines (Direct ignition and water cooled). The salient features of the investigation include: Comparative study of basic fuel properties of castor biodiesel & its blends with diesel and To evaluate the potential of using castor biodiesel in CI engine