Governments around the world see biofuels as a common solution to the multiple policy challenges posed by energy insecurity, climate change and falling farmer incomes. The Indian government has enthusiastically adopted a second-generation feedstock - the oilseed-bearing shrub, Jatropha curcas - for an ambitious national biodiesel program. Studies estimating the production capacity and potential land use implications of this program have typically assumed that the 'waste land' slated for Jatropha production has no economic value and that no activities of note will be displaced by plantation development. Here we examine the specific local impacts of rapid Jatropha plantation development on rural livelihoods and land use in Rajasthan, India. We find that in Jhadol Tehsil, Jatropha is planted on both government and private land, and has typically displaced grazing and forage collection. For those at the socioeconomic margins, these unconsidered impacts counteract the very benefits that the biofuel programs aim to create. The Rajasthan case demonstrates that local land-use impacts need to be integrated into decision-making for national targets and global biofuel promotion efforts. (C) 2011 Elsevier Ltd. All rights reserved.