Free Tionese isn't the problem.
The problem is the multiple ways the devs have shot crafting in the foot.
You forgot to mention the Cartel Market. All those shiny looking outfits on the CM are much nicer than the drab looking robes I can craft as a synthweaver. I am selling significantly fewer items these days - despite reducing prices to almost break-even point*. I have had a few augmented, purple items on the market for literally months. These days it's pretty much only the orange shells that sell at all, and by the time you've bought the component stacks to craft them your margins are lower than wages in a Tionese sweatshop
*big thanks to all the idiots selling items, especially augmented ones, for less than the cost of the raw components