Biodiesel, which is derived from vegetable oil (triglycerides) by transesterification with ethanol, has the significant notice during the past decade as a nontoxic, biodegradable, and renewable fuel. Several processes for biodiesel fuel production have been developed, amongst which transesterification by alkali catalysis gives high levels of conversion of triglycerides to their corresponding ethyl esters. In this paper, biodiesel produced from Mahua vegetable oil through catalytic transesterification using ethanol and potassium hydroxide as catalyst. The properties of biodiesel were analyzed using ASTM standard methods. From the tests it is clear that the, properties of Mahua biodiesel are similar to diesel fuel.