Yeast fermentation of various carbohydrate products is also used to produce the ethanol that is added to gasoline.

The dominant ethanol feedstock in warmer regions is sugarcane. In temperate regions, corn or sugar beets are used.

In the United States, the main feedstock for the production of ethanol is currently corn. Approximately 2.8 gallons of ethanol are produced from one bushel of corn (0.42 liter per kilogram). While much of the corn turns into ethanol, some of the corn also yields by-products such as DDGS (distillers dried grains with solubles) that can be used as feed for livestock. A bushel of corn produces about 18 pounds of DDGS (320 kilograms of DDGS per metric ton of maize). Although most of the fermentation plants have been built in corn-producing regions, sorghum is also an important feedstock for ethanol production in the Plains states. Pearl millet is showing promise as an ethanol feedstock for the southeastern U.S. and the potential of duckweed is being studied.

In some parts of Europe, particularly France and Italy, grapes have become a de facto feedstock for fuel ethanol by the distillation of surplus wine. Surplus sugary drinks may also be used. In Japan, it has been proposed to use rice normally made into sake as an ethanol source.