4. Shortage of Food: Biofuels are extracted from plants and crops that have high levels of sugar in them. However, most of these crops are also used as food crops. Even though waste material from plants can be used as raw material, the requirement for such food crops will still exist. It will take up agricultural space from other crops, which can create a number of problems. Even if it does not cause an acute shortage of food, it will definitely put pressure on the current growth of crops. One major worry being faced by people is that the growing use of biofuels may just mean a rise in food prices as well.