They are used to supplement the buying or scavenging of components. For instance, if you are out in the wild and need to craft item and find yourself coming up 1 or 2 short on one of the components, but you have the components to refine that component, you can simply make the 1 or 2 you need instead of running back to a town. Alternatively, most of these recipes also allow you to salvage the end products into either a lower grade of itself or into the base components.
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