ABSTRACT Aim: Biodiesel is biodegradable, renewable and non-toxic, safe to storable fuel has the performance comparable to petro-diesel that is gaining an importance as an alternative of future fuel due to depletion of fossil fuel resources. Cyclone type biodiesel production plant of higher capacity has been developed, which has very low cost of production per kg of biodiesel as compared with the traditional (batch type) biodiesel production set up of low production capacity. Methodology: Planned arrangement depends on the standard of typhoon separator. In which, the fluid (combination of straight vegetable oil sodium methoxide) stream is infused at high speeds through the delta pipe, which is situated digressively to the body of the twister. The state of the cone incites the stream to turn, making a vortex. Bigger or denser particles are constrained outward to the dividers of the twister where the drag of the turning air just as the power of gravity makes them tumble down the sides of the cone into a source. Results: Production cost per kg is very less and production capacity is do high as compare to existing (batch type) bio-diesel production plant. Conclusion: Development of an efficient of trans-esterification (biodiesel formation) set up can affect the technique for reaction condition, molar extent of alcohol to oil, sort of alcohol, type and proportion of stimuli, reaction time and temperature and excellence of reactants.