A method of producing a surface-mount inductor including an external electrode having high fixing strength with respect to an element body even in a high-humidity environment. The method includes the steps of: winding an electrically-conductive wire to form a coil; forming a core using a sealant primarily containing a metal magnetic powder and a resin in such a manner as to encapsulate the coil in the sealant while allowing each of opposite ends of the coil to be at least partially exposed on a surface of the core; reducing smoothness of a surface of at least a part of a portion of the core on which an external electrode is formed as compared to a surface therearound; and forming the external electrode on the core in such a manner as to be electrically conducted with the coil.