Fancy yarn is, as it sounds i.e. 'Fancy yarn' it is made with the help of mixed colored fiber to spun around together to form a yarn.

Fancy yarns can be made up of natural i.e. cotton, silk or man-made like rayon or even a combination of both. Two or more threads of different, softness, thickness, weight, colour or fiber content can be twisted together.

Most fancy yarns are produced by specialist spinners using machines modified or specially developed for the purpose; others are produced from 'fancy slivers' used as minor components of yarns made by spinners with normal equipment; still others are made exclusively by filament yarns, using adaptations of the air jet texturizing process.