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Handkerchief bibs made from a hankie and a washcloth. Cheap and cute.

DIY~ Baby Lollipop gift~ Baby Spoon + Two Washcloths. Great item to put in a baby gift basket.

mailorder 2-920 bib pattern :: floresita's transfers via flickr

Baby+Bib+Amy+Butler+Delhi+Blossoms+in+Grass+by+fHgdesign+on+Etsy,+$10.00

Baby bibs - more cute color combos, has link to tutorial. Now these, I understand making cute! After all, you're gonna put 'em on YOUR cutie!

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Baby Washcloth Elephant Diaper Cake Topper by TopsyTurvyDiaperCake, $3.99

Baby bibs made out of mama and daddy's old t-shirts! way cool.

4 Washcloth Knitting Patterns: easy for beginners, inexpensive gift. Want to try cable knit.