The effects of temperature, oil/alcohol molar ratio and by-product glycerol were studied during Lipozyme TL IM-catalysed continuous batch operation when short-chain alcohols were used as the acyl acceptor. In non-continuous batch operation, the optimal oil/alcohol ratio and temperature were 1:4 and 40-50 degrees C; however, during the continuous batch operation, the optimal oil/alcohol ratio and temperature were 1:1 and 30 degrees C; 95% of enzymic activity remained after 10 batches when isopropanol was adopted to remove by-product glycerol during repeated use of the lipase.