The interest in biodiesel as an alternative fuel increases due to increasing awareness of the depletion of fossil fuel resources, concerns about the environment, recycling of waste products, and restrictions imposed on exhaust emissions. Biodiesel can be produced from vegetable oils, animal fat or waste cooking oil. Main advantages of biodiesel may be summarized as; biodegradable, sulphur-free, non-poisonous, consisting oxygen and high cetane number and lubricity. In this study, in order to identify performance and exhaust emission characteristics of a four-stroke, single cylinder diesel engine were operated with anchovy oil based biodiesel, diesel fuel and their blends (volumetrically 5, 20, 50 and 100%) at full load and various engine revolutions. We have noted that, increasing the proportion of the biodiesel in the mixture with respect to petroleum based diesel fuel, the specific fuel consumption increases 5-12%, while engine torque decrease %2-6. The emission analyses show that the CO, HC and smoke emission decrease while NOx emissions increase.