In theory biofuels should be carbon neutral, but in reality they are not.
In order to grow the biofuels, we often have to clear land by cutting down trees. This means the trees can no longer photosynthesise and absorb CO2 themselves, and will also release large amounts of CO2 if burned.
In addition, it usually requires a lot of energy to harvest, process, and transport the biofuels, which itself will produce a lot of CO2.
Trees may be cut down, so no longer absorb CO2
Trees may be cut down, and will release CO2 if burned
Energy will be required to harvest, process and transport the biofuels...
... which will release more CO2