A member of plant growth-promoting rhizobacteria, Bacillus megaterium YMF3.25, was demonstrated to be an efficient biocontrol agent (BCA) against root-knot nematode Meloidogyne incognita. Results from three-compartmented Petri dish tests and a pot experiment indicated that the bacterial culture could significantly inhibit the hatch of eggs and reduce infection of the nematode through production of nematicidal volatiles. After analysis by gas chromatograph/mass spectrometer and confirmation with commercial pure compounds, the nematicidal volatiles produced by the bacterium were characterised to include mainly the benzeneacetaldehyde, 2-nonanone, decanal, 2-undecanone and dimethyl disulphide, which were active against to both juveniles and eggs at the concentration of 0.5 mmol. Six compounds (phenyl ethanone, nonane, phenol, 3,5-dimethoxytoluene, 2,3-dimethyl-butanedinitrile and 1-ethenyl-4-methoxy-benzene) with nematicidal activityies of 30%-63% also contributed to nematicidal efficacy of the bacterium.