Orange peel, an abundant byproduct of the citrus processing industry, is converted to a mixture of glucose, galacturonic acid, fructose, arabinose, galactose, and xylose by hydrolysis with mixed pectinase and cellulase enzymes. All these sugars can be fermented to ethanol or ethanol and acetic acid by the recombinant bacterium Escherichia coli KO11. The fermentation efficiency is improved by the addition of yeast extract, tryptone, mixed amino acids, corn steep liquor, or by proteolytic digestion of endogenous proteins. Batch fermentations of supplemented peel hydrolysate containing 111 g/L of initial total sugars produced 35-38 g/L of ethanol in 48-72 h and a 75-85% yield.