Possible Origin of The Phrase
In weaving willow baskets, a trough of water is needed in which to soak the dried willow rods. They are then left to stand until pliable and ready to be used in weaving. The weaving is, however, not done under water. An issue of The American Philatelist from 1956 refers to an Alaskan village where "Underwater basket weaving is the principal industry of the employables among the 94 Eskimos here. By way of explanation – the native reeds used in this form of basketry are soaked in water and the weavers create their handiwork with their hands and raw materials completely submerged in water throughout the process of manufacture".
Read more about this topic: Underwater Basket Weaving
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