The present invention provides a yarn imaging device (100) comprising one or more sensing groups (110). Each sensing group comprises at least one illumination source (114) for illuminating the yarn (10) and at least one digital image sensor (111). The digital image sensor is positioned in such a way that the digital image sensor generates an image of the yarn (10). The characteristics of the yarnare determined based on the yarn image. Further, the present invention enables determination of presence of foreign matter within the yarn.