The present invention provides a method of obtaining highly pure phytosterols practically and efficiently from crude phytosterol compositions derived from vegetable fats and oils. That is, the present invention provides a method of saponifying fatty esters contained in crude phytosterol compositions with an alkali in a mixed solvent of an lower alcohol and water, as well as a process for producing phytosterols, which comprises, after this saponifying method, cooling the reaction solution to precipitate crystals of phytosterols, and separating the obtained crystals.