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The problem is, everyone is obsessed with ethanol at the moment which, if what I once read is correct, would supply only 1/3 of the US demand for fuel even if the entire arable land area of the US was given over to ethanol production.
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This is untrue. This was a lie promoted by anti-ethanol people and the oil companies to mitigate the research and exploration of Corn and corn stocks for fuel. The truth is, like in Brazil, there is more than enough "sugar" products such as sugar beats, corn, and corn stocks in current supply to both supply enough fuel and food for current consumptions. Sure growth would be required but currently only part of the corn is being used to produce fuel. When they switch to using the ENTIRE corn plant the amount of fuel generated can increase up to 50 fold.