A process for producing allyl alcohol, comprising a step (1) of producing allyl acetate from propylene, acetic acid and oxygen in a gas phase in the presence of a catalyst comprising a support having supported thereon a catalyst component containing a compound containing alkali metal and/or alkaline earth metal, an element belonging to Group 11 of the Periodic Table or a compound containing at least one of these elements, and palladium, and a step (2) of hydrolyzing the ally acetate obtained in the step (1) using an acid catalyst to produce allyl alcohol, wherein the conversion of the starting material acetic acid in the step (1) is 60% or more.