The entire universe is faced with the two important crises of fossil fuel depletion and environmental degradation. The decrement in crude oil reserves and environmental concerns have led to find an alternative fuels from various bio-origin sources. Calophyllum Inophyllum and Algae have performance will give much attention recently due to their high growing rates and more oil contents. The aim of the current investigation is to find the performance and emission characteristics of single cylinder four stroke direct injection diesel engine using algae oil and Calophyllum Inophyllum oil as an alternate fuel. Bio-diesel was prepared from algae oil and Calophyllum Inophyllum oil by transesterification process. The high viscosity of Calophyllum Inophyllum oil and Algae oil was compensated by mixing with diesel fuel. Calophyllum Inophyllum Methyl Ester (CIME) and Micro Algae Methyl Ester (MAME) biodiesel and Di-Ethyl Ether (DEE) was blended with diesel fuel with the volumetric ratio of 20%, 40%, 60% were tested. Fuel properties of different blends were found out and the performance characteristics and exhaust emission of the engine fueled with blends were analyzed. The test reveals that CIME and MAME with ignition improver blends are Produce high brake thermal efficiency, low BSFC and lesser emissions than conventional fuel. The CIME and MAME have good combustion and emission performance compare with diesel fuel. Among these blends B40 fuel results CO and NOx emission values and the performance values of the engine were improved.