My kilo of recycled sari yarn, purchased via eBay , arrived in yesterday's mail. It looks beyond cool - lots of red and blue, with yellows and purples and greens. I spent much valuable baby-blanket finishing time winding the hanks into balls, where it can sit and de-kinkify for a few days before I start to work with it. Photos coming soon. I think my first project will be a simple scarf for a friend's birthday.
The eBay seller I bought it from, knittersknot, seems to have lots for sale most of the time, in varying quantities. I also noticed a few other sellers by searching on "sari silk."