The highly efficient procedure has been developed for the synthesis of biodiesel from vegetable oil and methanol. The KF/MgO has been selected as the most efficient catalyst for the reactions with the yield of 99.3%. Operational simplicity, without need of the purification of raw vegetable oil, low cost of the catalyst used, high activities, no saponification and reusability are the key features of this methodology. (C) 2009 Published by Elsevier Ltd.