Environmental issues, the growing demand for energy, political concerns and the medium-term depletion of petroleum has created the need for development of sustainable technologies based on renewable raw materials. Biofuels might help to meet the future energy supply demands as well as contributing to a reduction of green house gas emissions. Although this topic is highly controversial and many investigations are currently ongoing, this review is intended to give a brief overview about certain aspects of the complex biofuel issue, providing the latest update of the production and potential of biofuels in the transport sector including types of biofuel, feedstocks and technologies and some of the possible socio-economic, environmental and political implications of the widespread use of biofuels in our society.