Homemade noodles would make A very frugal but quite delicious home-made gift of food. My step-grandmama used to make home-made egg noodles, and they were greatly valued by all her relations. All you need is flour, water, salt, possibly but not necessarily an egg and occasionally a small bit of oil- and time. You can find recipes all over the internet. Roll your dough thin, slice into strips, hang the strips over a broomhandle you’ve placed across the backs of two chairs to let them air dry, then package prettily in a nice jar or sealed tin.
Home-made crackers are also a frugal gift- you can add a cheese ball.
You can give a home-made certificate for a ______ of the month club membership- sandwich? Soup? Cookie? Bread? Thereafter, each month, make up a batch of whatever it was, and share with your recipient.
Home-made brownie mix in a jar is nice.
Share your own instant hot cocoa mix.
Pick up some pretty mugs at a thrift shop and share the chocolate cake in a mug recipe and ingredients.