The paper focuses on studying the conversion of rice husks and sawdust into liquid fuel. Rice husks, sawdust and their mixture are pyrolyzed at temperatures between 420 and 540 degrees C, and the main product of liquid fuel is obtained. The experimental result shows that the yield of liquid fuel depends on various factors such as feedstock and temperature. The maximum yields for rice husks, sawdust and their mixture are 56%, 61% and 60% at 465, 490 and 475 degrees C, respectively. Analyses with GC-MS and other apparatus show that the liquid fuel is a complicated compound with low caloric value and can be directly used as a fuel oil for combustion in a boiler or a furnace without any upgrading. Alternatively, the fuel can be refined to be used by vehicles.