diff --git a/server/src/game/GameLoop.ts b/server/src/game/GameLoop.ts
index 5c5576f..0fb9249 100644
--- a/server/src/game/GameLoop.ts
+++ b/server/src/game/GameLoop.ts
@@ -70,7 +70,7 @@ export class GameLoop {
       this.eventMemoryService,
       (summary) => this.onInventionCreated?.(summary),
     );
-    this.desireGeneratorSystem = createDesireGeneratorSystem(this.llmService);
+    this.desireGeneratorSystem = createDesireGeneratorSystem(this.llmService, this.eventMemoryService);
 
     this.saveManager = new SaveManager(options?.savePath ?? 'saves/default.db');
 
@@ -279,7 +279,7 @@ export class GameLoop {
     socialSystem(this.world, this.eventMemoryService);
     narrationEmitter(this.world, this.narrationService, this.followedEntityIds, this.eventMemoryService);
     relationshipSystem(this.world, this.eventMemoryService);
-    desireFulfillmentSystem(this.world, this.tick);
+    desireFulfillmentSystem(this.world, this.tick, this.eventMemoryService);
     this.desireGeneratorSystem.update(this.world, this.tick);
     industrySystem(this.world, this.map);
     pickupSystem(this.world, this.tick, (entry) => this.onStockpileEvent?.(entry));
diff --git a/server/src/systems/desireFulfillmentSystem.ts b/server/src/systems/desireFulfillmentSystem.ts
index bf7febf..6f54fe7 100644
--- a/server/src/systems/desireFulfillmentSystem.ts
+++ b/server/src/systems/desireFulfillmentSystem.ts
@@ -1,6 +1,7 @@
 import type { Desire, FulfillmentCriteria } from '@dflike/shared';
 import type { World } from '../ecs/World.js';
 import type { StructureData } from './buildingSystem.js';
+import type { EventMemoryService } from '../llm/eventMemoryService.js';
 import { classify } from './relationshipHelpers.js';
 import { RecipeRegistry } from '../industry/recipeRegistry.js';
 import { ItemRegistry } from '../industry/itemRegistry.js';
@@ -84,16 +85,29 @@ function checkFulfillment(
   }
 }
 
-export function desireFulfillmentSystem(world: World, tick: number): void {
+export function desireFulfillmentSystem(
+  world: World,
+  tick: number,
+  eventMemoryService?: EventMemoryService,
+): void {
   if (tick % desireConfig.fulfillmentCheckInterval !== 0) return;
 
   for (const entityId of world.query('desires')) {
     const desires = world.getComponent<Desire[]>(entityId, 'desires');
     if (!desires || desires.length === 0) continue;
 
-    const remaining = desires.filter(
-      (desire) => !checkFulfillment(world, entityId, desire.fulfillment),
-    );
+    const remaining: Desire[] = [];
+    for (const desire of desires) {
+      if (checkFulfillment(world, entityId, desire.fulfillment)) {
+        eventMemoryService?.record(entityId, {
+          type: 'desire_fulfilled',
+          tick,
+          detail: desire.description,
+        });
+      } else {
+        remaining.push(desire);
+      }
+    }
 
     if (remaining.length !== desires.length) {
       world.addComponent(entityId, 'desires', remaining);
diff --git a/server/src/systems/desireGeneratorSystem.ts b/server/src/systems/desireGeneratorSystem.ts
index 639005e..474f73d 100644
--- a/server/src/systems/desireGeneratorSystem.ts
+++ b/server/src/systems/desireGeneratorSystem.ts
@@ -1,6 +1,8 @@
 import type { EntityId, Desire, Stats } from '@dflike/shared';
 import type { World } from '../ecs/World.js';
 import type { LlmService } from '../llm/llmService.js';
+import type { EventMemoryService } from '../llm/eventMemoryService.js';
+import type { InventionTimeline } from '../industry/inventionTimeline.js';
 import { desireConfig } from '../config/desireConfig.js';
 import { getEffectiveStat } from './statHelpers.js';
 import { formatStatsForPrompt, getWorldContext, validateDesire } from '../llm/backstoryGenerator.js';
@@ -10,7 +12,10 @@ export interface DesireGeneratorSystem {
   triggerEvent(world: World, entityId: number, trigger: string, tick: number): void;
 }
 
-export function createDesireGeneratorSystem(llmService: LlmService): DesireGeneratorSystem {
+export function createDesireGeneratorSystem(
+  llmService: LlmService,
+  eventMemoryService?: EventMemoryService,
+): DesireGeneratorSystem {
   const pendingEntities = new Set<EntityId>();
 
   function canAddDesire(world: World, entityId: number): boolean {
@@ -38,11 +43,22 @@ export function createDesireGeneratorSystem(llmService: LlmService): DesireGener
     const context = getWorldContext(world);
     const currentDesireList = currentDesires.map(d => d.description).join('; ') || 'none';
 
+    const recentEvents = eventMemoryService
+      ? eventMemoryService.getRecentEvents(entityId, 5).map(e => e.detail).join('; ')
+      : '';
+
+    const timeline = world.getSingleton<InventionTimeline>('inventionTimeline');
+    const recentInventions = timeline
+      ? timeline.getSummaries().slice(-5).map(s => s.name).join(', ')
+      : '';
+
     const variables: Record<string, string> = {
       npcName: name,
       stats: formatStatsForPrompt(stats),
       backstory,
       currentDesires: currentDesireList,
+      recentEvents: recentEvents || 'none',
+      recentInventions: recentInventions || 'none',
       resourceTypes: context.resourceTypes,
       recipeList: context.recipeList,
       structureList: context.structureList,
diff --git a/server/src/systems/industrySystem.ts b/server/src/systems/industrySystem.ts
index 6794078..6270338 100644
--- a/server/src/systems/industrySystem.ts
+++ b/server/src/systems/industrySystem.ts
@@ -9,10 +9,11 @@ import type { CraftingState } from './craftingSystem.js';
 import type { BuildingState, StructureData } from './buildingSystem.js';
 import type { PickupState } from './pickupSystem.js';
 import { RecipeRegistry, type Recipe } from '../industry/recipeRegistry.js';
+import { ItemRegistry } from '../industry/itemRegistry.js';
 import { getEffectiveStat } from './statHelpers.js';
 import { industryConfig } from '../config/industryConfig.js';
 
-function scoreCraftableRecipes(recipes: Recipe[], desires: Desire[]): Recipe {
+function scoreCraftableRecipes(recipes: Recipe[], desires: Desire[], itemRegistry?: ItemRegistry): Recipe {
   if (recipes.length === 1 || desires.length === 0) return recipes[0];
 
   let bestRecipe = recipes[0];
@@ -24,8 +25,11 @@ function scoreCraftableRecipes(recipes: Recipe[], desires: Desire[]): Recipe {
       const f = desire.fulfillment;
       if (f.type === 'own_item' && f.itemId === recipe.outputItemId) {
         score += desire.priority * 10;
-      } else if (f.type === 'own_item_category') {
-        score += desire.priority * 5;
+      } else if (f.type === 'own_item_category' && itemRegistry) {
+        const outputDef = itemRegistry.get(recipe.outputItemId);
+        if (outputDef && outputDef.category === f.category) {
+          score += desire.priority * 5;
+        }
       }
     }
     if (score > bestScore) {
@@ -91,7 +95,8 @@ export function industrySystem(world: World, map: GameMap): void {
     const craftRecipes = registry.findCraftable(inv).filter(r => !r.id.startsWith('build_'));
     if (craftRecipes.length > 0) {
       const desires = world.getComponent<Desire[]>(entity, 'desires') ?? [];
-      const recipe = scoreCraftableRecipes(craftRecipes, desires);
+      const itemRegistry = world.getSingleton<ItemRegistry>('itemRegistry');
+      const recipe = scoreCraftableRecipes(craftRecipes, desires, itemRegistry);
       const dex = getEffectiveStat(world, entity, 'dexterity');
       const baseTicks = industryConfig.craftBaseTicks;
       const ticks = Math.max(1, Math.round(baseTicks * (1 - (dex - 10) * industryConfig.craftDexterityModifier)));