The denim. having a large customer base irrelevant of age, gender and social status limitation, has been one of the most important products for the garment sector. Denim fabric demand has diversified with the changing consumer's sense of life day by day. The denim manufacturers develop alternative production techniques and materials by turning towards new researches in order to adapt to consumer demands. One of the alternative materials. which am used in denim fabric structure. is the dual-core yams. The dual-core yarn is manufactured through the modified ring-spinning machine in order to benefit at the same time from the properties of two core components. In this study the influence of some production parameters such as twist level, wool draft and elastane draft on the properties of dual-core yams containing wool/elastane is investigated. The results indicated that the twist level is significantly effective parameter for the unevenness, hairiness, tenacity and elongation values of dual-core yarns. In addition, wool draft is significantly effective parameter for hairiness and breaking elongation values. It was also observed that variation of elastane draft level affects tenacity and elongation values of dual-core yams.