To obtain a fatty acid mono-alkanolamine amide that includes considerably low levels of an unreacted raw material and ester amide, has good color tone with reduced smell by allowing a fatty acid methyl ester to react with a specific monoalkanolamine in the presence of an alkali catalyst.

The condensation reaction between a fatty acid methyl ester of formula I [R is a (OH-substituted) 5-21C alkyl, or an alkenyl] and a monoalkanolamine of formula II (X is H or methyl) is carried out in the presence of an alkali catalyst, then water is added to the reaction mixture, which is heated, after completion of the reaction, and the water is removed under reduced pressure to give the objective compound useful as an auxiliary for detergent and as an additive. In a preferred embodiment, water is added to the reaction mixture after completion of the condensation reaction, stirred at 80-180°C for 5-60 minutes and an excessive amount of water is distilled off under a reduced pressure. The water is added, preferably in an amount of 0.2-30.0 wt.% based on the theoretical yield of the fatty acid monoalkanol amide.