Well we have "solved" that matter on our little part of the world, since we are more persons that gather herbs, and there is one person that is the "medic"...
That way, the smith needs to pay a little more for the flux, and that makes it valuable to be the "herber" on the server...
I belive, that it is great, that you can use a person that has spend his points on herbalism and not on a lot of the other skills...
That it could be fair, that you need a little less than 6 flux to make stell I won't argue... Still the "trick" seems to be, that you make Steel Ingots, since they cost the same as the others, and then break that one down into smaller pices...