Nell and Mary is a Portland, Oregon-based design studio that focuses on textiles with original, hand-made graphics. They took a rather old-fashioned product list (tea towels, totes, aprons, pillows) and gave them a very quirky, Bohemian feel.
I like the Nell and Mary blog, too, which has beautiful photos, recipes, and sophisticated DIY crafts.
I like the fact you can get (or give) something useful for the kitchen that is both handcrafted and beautiful for about $20. I found these at one of my favorite stores, Salt & Sundry, off 14th Street NW in DC.
The Foreign Office 