In the current scenario, the use of fossil fuel is increasing sharply in the global energy store and playing a highly hazardous role in the ecological system, besides contributing to global warming. Biodiesel is one of the most credible keys for addressing this issue. The present experimental study has been done on Kirloskar make TAF-1 model compression ignition (CI) engine, powered by Garcinia gummi-gutta methyl ester (GGME) biodiesel and its blends. Experimental results were correlated with those of mineral diesel. To start with, biodiesel was synthesized from Garcinia gummi-gutta seed oil, assisted by novel Thermomyces lanuginosus lipase (TL) enzyme linked biocatalyst transesterification. Using nanotechnology, ferric oxide (Fe3O4) nanoparticles were prepared using the coprecipitation method. The TL enzymes were covalently linked with magnetic Fe3O4 nanomaterial, powered using the immobilization method and characterized by X-ray diffraction (XRD), scanning electron microscope (SEM), and Fourier-transform infrared spectroscopy (FTIR) analyses. A large quantity of TL functional groups attached with Fe3O4 magnetic nanoparticle in reaction with an active functional group in oils leads to improved efficiency and effective recycling via an external magnetic field. At the end of 74 h of reaction time with confined optimization conditions, the transesterification process yielded 93.08 % GGME. All the physiochemical properties of GGME blends were investigated as per ASTM standards. Raw GGME was blended with mineral diesel in various proportions, namely B10, B20, B30, B40, and B100. The fuel blends were analyzed in terms of combustion, performance, and emission characteristics. Test results revealed B20 (20 % GGME + 80 % diesel) blend as on par with mineral diesel in terms of brake thermal efficiency (BTE), unburned hydrocarbon (UBHC), and carbon dioxide (CO2), followed by nitrogen oxides (NOx) and smoke emissions. At 100 % load, cylinder pressure, the heat release rate (HRR), brake specific energy consumption (BSEC), and carbon monoxide (CO) emissions of B20 were significantly lower than mineral diesel. Overall, B20 was showcased as a reliable alternative fuel for the CI engine.