Toast hazelnuts and rub off skins or leave skins on.
Skewer each nut on a wooden or metal skewer. In a small saucepan over medium heat, dissolve 1/2 cup sugar in 1/2 cup water. Cover and bring to a boil, cook for 4 to 5 minutes. Uncover, but do not stir. Wash sugar crystals from the sides of the pan with a wet pastry brush. Continue to cook without stirring until syrup is a medium dark amber color. Remove from heat and quickly dip each skewered nut in the syrup. Prop skewer so the nuts can drip and harden. Snip off any caramel tails that may have formed. Store in airtight container. Can be used as a garnish for cakes and desserts.
