Natural elements such as plants, vegetables , and reusable materials are the main sources of biodiesel. Harmful chemicals that can affect the environment in a worse condition is not produced by this biodiesel which affects the atmosphere. Alternative sources for energy has been searched by the people in an increasing manner in the recent days. The paper deals with the use of Cashew nut shell liquid as an alternative fuel which is obtained from cashew industry as a by product. Fuel is injected into the engine as a fine sprayer through the injection nozzle. To spray diesel fuel in the cylinder an injector nozzle is fixed at the top with lot of holes. The injector nozzle is used to mix the fuel and airand is sprayed at a high pressure. As the spray cone angle is large in the multi hole injector nozzles diesel can be sprayed in a better way to obtain a uniform mixture.