Open the Inventory
Place the required ingredients in a Cooking Pot or Industrial Cooker
Add Water, Waterskin, Water Jar, or Canteen with enough water in it
Add the correct recipe ingredients for the dye color you want
Light the Cooking Pot with fuel, or power the Industrial Cooker
Wait for the dye to craft
Remove the dye from the inventory of the Cooking Pot or Industrial Cooker