Liquid biofuels are fossil fuel replacements in the form of fuel ethanol and biodiesel. Advocates of biofuels highlight their potential to mitigate climate change from reduced greenhouse gas emissions and socio-economic benefits for countries that achieve a higher degree of self-reliant energy supply. Critics emphasise social drawbacks from biofuel production and suggest that crop-based biofuels could jeopardise food security. The cultivation of biofuel feedstock has furthermore been reported to promote agricultural expansion and thus pose threats to biodiversity. Intense agricultural practices, coupled with land transformation, have also led to question as to whether or not biofuels reduce the carbon footprint of transportation fuels. The South African government established a biofuels strategy in 2007. Besides having declared self-imposed renewable fuel targets, the policy paper encourages the participation of black people in this emerging industry. The proposed fuel ethanol plant in Cradock, Eastern Cape, is likely to be the first operational bioethanol project in the country. As one of the first biofuels-related Black Economic Empowerment (BEE) programmes, 25 Cradock farms have already been purchased and allocated to black emerging farmers. The intention of this initiative is to enable part of the ethanol plant feedstock to be produced by these emerging farmers. The present dissertation aims to determine the magnitude and relevance of concerns highlighted in the global biofuels debate for fuel ethanol production at the proposed Cradock plant. This incorporates environmental impacts from agriculture, greenhouse gas emissions during the biofuel production chain, food security impacts, and the performance of socially equitable development. A total of 44 face-to-face interviews were held, comprising 22 commercial farmers, 12 emerging farmers, and representatives from the governmental, commercial and research sectors. The interviewees were questioned on the various socioeconomic, environmental and agricultural aspects of the Cradock fuel ethanol project. The inputs of the interviewees were complemented with descriptive statistics on food production, fertiliser and water use, biome maps and a life-cycle assessment of the carbon footprint of the biofuel that will be produced in Cradock.