Personally, that section really means "hobbies and interests", i.e. things not connected with your professional choice, to help give a better picture of you not just as a student or a candidate for a job.
People put a variety of things, but I wouldn't put "socialising" as it doesn't mean that you are applying yourself to broaden your interests. I've seen many, including:
sport (playing or watching)
stamp collecting
bell ringing (that candidate sounded interesting!)
involvement with the church
fashion/dressmaking
craft (so yours is fine)
bird-watching
motor sport
cycling
walking
going to the gym
reading
all of which demonstrate outside interests - and also give the interviewers something to ask you questions about - for yours, what sort of books do you like to read? or tell us about your latest craft project. I think your choices so far are fine, they are personal to you and tell the interviewer a bit about the sort of person you arel