THIS INVENTION RELATES TO A METHOD FOR PRODUCING ETHANOL OR LACTIC ACID FROM PALM TRUNK (10) EFFICIENTLY AND ECONOMICALLY. EXTRACTING SAP FROM PALM TRUNK (10) THEN REST OF THE FIBER OF THE PALM TRUNK (10) IS SACCHARIZED BY HYDROLYZING WITH ENZYMES. SUBSEQUENTLY, THE SAP AND THE OBTAINED HYDROLYZED SOLUTION ARE FERMENTED BY A MICROORGANISM FOR PRODUCING ETHANOL OR LACTIC ACID. IN ADDITION, THE FIBER OF A PALM TRUNK (10) MAY BE HYDROLYZED WITH AN ACID OR AN ALKALI BEFORE HYDROLYZING. THE HYDROLYZING BY ENZYME AND THE FERMENTATION BY MICROORGANISM CAN BE PERFORMED SIMULTANEOUSLY. THE FERMENTATION OF THE SAP AND THE HYDROLYSATE MAY BE PERFORMED BY MIXING THEM OR SEPARATELY. FIG. 1