Abstract: In an apparatus for producing effect yarn, at least one pair of feed rollers is provided for supplying a yarn component creating the effect, this pair of rollers consisting of a driven feed roller and a pressure roller forced against it. Moreover, the apparatus has at least one supply arrangement for a foundation thread, a hollow spindle carrying a bobbin of binding thread and having a twist limiter, and a pair of draw-off rolls. A deflecting pin extending substantially parallel to the axes of the rollers is provided at the exit of the pair of feed rollers in the wedge formed between the two rollers. This deflecting pin serves to guide the foundation thread which is led past the pair of feed rollers on the outside. This deflecting pin is arranged substantially in the plane of thread movement passing through the line of contact of the two rollers and through the yarn components combined and false-twisted downstream of the line of contact.