A blank for a rotary tool for chip removing machining, such as a helix drill or an end mill is formed by advancing a mixture of hard metal powder and carrier through an extrusion passage. The mixture is fed past a core having pins secured thereto for forming respective internal holes through the mixture. Then the mixture is advanced through a rotary part that is rotating about a center axis of the extrusion passage, wherein the rotary part and the internal holes become twisted to a predetermined pitch. The mixture is also advanced past a plurality of shaping parts which project transversely into the extrusion passage for shaping exterior chip flutes in the mixture, e.g., by embossing or cutting. The mixture is allowed to harden into a green body, and the green body is then sintered to form a blank.