This is part of a really detailed and informative history available in full at RusSell. They have been kind enough to allow me to reproduce it.
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The northern part of the Gorky region is a single glorious expanse. A green carpet of water-meadows spreads along the lower left bank of the Volga and beyond them stretch boundless forests. In autumn these forests are particularly beautiful: dense fir-trees enhance the yellow-tinged lime and birch; the luxuriant maple canopies turn purple and orange and the sun tints the venerable oaks with noble bronze.The golden foliage and lacy branches with scarlet clusters of ashberries recall the vibrant colours of Khokhloma - the folk painting that originated in these parts. Today this age-old art is flourishing anew. Aflame with gold and slender vermilion leaves, Khokhloma wooden tableware and furniture are world-famous. This remarkable Russian decorative craft dates from the seventeenth century and derives its name from the Volga mercantile village of Khokhloma, which has since become a major centre of folk art in the Soviet Union.
Equally old is the small town of Semionov. Its wooden houses, built on a gently sloping hill, are noted for their finely carved window casings, ornate weather-vanes and chimneys. Thousands of tourists come to Semionov every year to visit the local handicrafts museum to see examples of mas-terly woodwork: carvings, sculptures, toys, Gorodets distaffs, gingerbread moulds and blocks for the hand-printing of fabrics. The main attraction of the museum, however, is its large collection of wooden Khokhloma ware.
On display are the gilded wooden bowls and dishes used
daily in nineteenth century peasant households. Having dulled with age,
they now glow softly in their showcases. But next to them shine the freshly
varnished wares of a modern Semionov factory with their eye-catching floral
designs.
The motifs of Khokhloma painting are both simple and poetic, consisting
of floral and plain geometrical patterns. Flowers and clusters of berries
interwoven with sweeping grasses and golden tendrils curve gently over
the wooden surfaces. Some of these compositions are restrained, others
lavish; but all reflect the Russian people's love of nature and quest
for beauty.
Khokhloma derives its bright, festive character from a distinctive matching of scarlet, black and gold. This dignified and lustrous combination gives the wooden dishes an aura of great value. That is all the more remarkable in that Khokhloma "gold" is not real, but the ingenious invention of Russian craftsmen. To achieve the gold effect on wood is far from simple. First, the unpainted articles are primed and coated with drying oil. Next they are polished with powdered aluminium (powdered tin and more rarely silver were used in the past). The "silvered" wares are then painted with heat-resistant oil colours, varnished and fired in kilns. The heat turns the varnish yellow, the "silver" into "gold" and mellows the vivid design with an even, amber glow.
Khokhloma assumed a special place in the history of Volga-based handicrafts by virtue of its widespread production and sale, as well as the remarkable tenacity of the craft itself. The Khokhloma method is thought to have arisen in the seventeenth century. At least, it is certain that by then the craftsmen of Nizhni-Novgorod were using powdered metals in decorating wooden tableware. We have proof that this was so on the estate of a certain boyar called Morozov, who wrote a letter to his bailiff in 1659 demanding to be sent "one hundred painted dishes polished with powdered tin, both large and medium, of the very same kind possessed by us earlier, not forgetting twenty large painted wine bowls, twenty medium and twenty somewhat smaller..."2 We are not told whether or not these vessels resembled gold. But how did the peasants learn to give wood this golden sheen?
The older inhabitants to the east of the Volga recount a legend on this very subject: at the time of Tsar Alexis, there was a certain dissenter - an icon painter - who devised the art of making beautiful gilded bowls from wood. Although he lived clandestinely in the forests of Kerzhenets, his jealous rivals determined to capture him and even the palace guard "strode forth into the lands of Semionov" with the aim of bringing him back to Moscow. On hearing of their approach, however, the fugitive craftsman summoned all the people from the neighbouring villages, told them his secret, gave out brushes and paints and then set light to his house, where he was burned alive. The sparks of this fire are said to have "kindled the fame of Khokhloma colours throughout the forest villages and settlements".3 This legend supports the assumption held by modern researchers that Khokhloma technology evolved under the influence of icon painting, which thrived in the monasteries of Old Believers.
The October Revolution opened a new chapter in the history of Khokhloma. In its very first decrees, the Soviet Government showed a deep concern for the future of folk arts. Of paramount importance was the Decree on Promoting the Handicraft Industries, signed by Lenin and Kalinin on 25 April 1919.
Pre-revolutionary Khokhloma traditions were redefined in the new spirit of the times. This led to the appearance of fresh and exciting works, examples of which were displayed at the folk art exhibition held in the Tretyakov Gallery in 1937.The traditional grass theme in these works had been modified to some extent. Artists endeavoured to reflect the beauty of the Russian countryside more fully: among the sweeping grasses they now inserted flowers, ornate leaves, wild strawberries, black currants, raspberries and ears of rye; in some designs they included birds and even fish. Never before had Khokhloma embodied such verve, richness and emotion.
Khokhloma has acquired a richer and more sophisticated colouring. Artists are seeking new combinations within the traditional framework by dividing primary colours into their related shades: red berries are highlighted with yellowish-orange shades and leaves are tinged with greenish-brown in subtle combination with gold. The Khokhloma palette seems to have absorbed all the autumnal majesty of its native forests. Artists intensify the richness of the designs with-gold stripes, grooves and rings, giving every piece of the Khokhloma range its unique elegance.
