Yeesh, you got me there.... I'm still using my (questionable) squares that I got from a fabric shop. 
But around here I sometimes find good deals on Westpoint Stevens towels either at dollar/liquidation stores or small discount stores like Fields. I got a few small bath towels (large hand towels??) there for a good price but haven't used them yet... Sometimes Home Outfitters has even better towels (like some high ticket Fieldcrest towels) at a good price because they're seconds. The general guideline I believe though, is to just stick with something 100% cotton and made "domestically".
Try running some searches maybe and see if there are more pointers out there.
But around here I sometimes find good deals on Westpoint Stevens towels either at dollar/liquidation stores or small discount stores like Fields. I got a few small bath towels (large hand towels??) there for a good price but haven't used them yet... Sometimes Home Outfitters has even better towels (like some high ticket Fieldcrest towels) at a good price because they're seconds. The general guideline I believe though, is to just stick with something 100% cotton and made "domestically".Try running some searches maybe and see if there are more pointers out there.