diff --git a/HISTORY.md b/HISTORY.md
index f5c9030..77fd8a3 100644
--- a/HISTORY.md
+++ b/HISTORY.md
@@ -12,6 +12,7 @@ I tried to give credit whenever possible. If I have missed anyone, kindly add it
 - Show correct path to `arduino.mk` file in help message. Fix #120
 - Change echo for printf. Fix #129 (https://github.com/thomassigurdsen)
 - Add support for ChipKiT 2013. Fix #136 (https://github.com/peplin)
+- Auto detect and include libraries specified in `USER_LIB_PATH`. Fix #135 (https://github.com/tinyladi)
 
 ### 1.0.1 (2013-09-25)
 - Unconditionally add -D in avrdude options. See #114
diff --git a/arduino-mk/Arduino.mk b/arduino-mk/Arduino.mk
index 997a853..42b3abe 100644
--- a/arduino-mk/Arduino.mk
+++ b/arduino-mk/Arduino.mk
@@ -669,6 +669,8 @@ ifndef ARDUINO_LIBS
         $(shell sed -ne "s/^ *\# *include *[<\"]\(.*\)\.h[>\"]/\1/p" $(LOCAL_SRCS)))
     ARDUINO_LIBS += $(filter $(notdir $(wildcard $(ARDUINO_SKETCHBOOK)/libraries/*)), \
         $(shell sed -ne "s/^ *\# *include *[<\"]\(.*\)\.h[>\"]/\1/p" $(LOCAL_SRCS)))
+    ARDUINO_LIBS += $(filter $(notdir $(wildcard $(USER_LIB_PATH)/*)), \
+        $(shell sed -ne "s/^ *\# *include *[<\"]\(.*\)\.h[>\"]/\1/p" $(LOCAL_SRCS)))
 endif
 
 ########################################################################