PP/PEP blends, because of different solubility factors, are incompatible. The aim of this research was to use PP-g-MA compatibilizer in a two-component blend. After preparing this compatibilizer in internal mixer and investigating different parameters on producing process, optimum compatibilization was obtained. PP/PET (60/40) Blend fibers with different percentages of this compatibilizer in two groups, including recycled and virgin PET were prepared. The results show that PP-g-MA causes smaller PET phase in fibers including virgin PET but in fibers with recycled PET, up to 5 wt% of compatibilizer, the cross-section uniformity is reduced. In addition, by increasing compatibilizer, the mechanical properties of two groups including recycled and virgin PET, at first increase and then decrease. Cold drawing causes increase in crystallinity and therefore enhancement of tensile strength. It is obvious that fibers with recycled PET and compatibilized fibers demonstrate better mechanical properties by cold drawing.