I knew it was gonna happen! 1001 Arabian Nights is finally coming to DVD through Son'y MOD program!:
http://forums.goldenagecartoons.com/showthread.php?p=202799&posted=1#post202799
http://www.classicflix.com/1001-arabian-nights-columbia-classics-p-11883.html
The 43 minutes on the second link is a typo. Just so we're clear.
It's availalble right now, through the companies that carry the Sony MODS (manufactured on demand DVD-Rs). Some of those sources are Amazon.com, Warner Archives, and Screen Archives Entertainment (SAE). I presume that the disc is widescreen and full-length.
I saw the film first-run back in 1959 as a child, but haven't seen it since. I remember liking it,but cannot recall anything specific about it (other than Mr. Magoo and the Arabian setting). Perhaps I will revisit the film on DVD-R.