Biodiesel, which is defined as the monoalkyl esters of long chain fatty acids derived from a renewable lipid feedstock, has received considerable attention worldwide as a medium-term alternative to diesel fuel obtained from petroleum. Biodiesel can be produced by the transesterification of vegetable oils or animal fats using short-chain alcohols in the presence of a suitable catalyst and glycerol is the only byproduct obtained in significant quantities. In this work a techno-economic analysis of a process that produces biodiesel from vegetable oils is presented with the aim to investigate the dependence of the critical profitability indicators on the production capacity. (c) 2009 Elsevier B.V. All rights reserved.