As a way of getting items such as gem-encrusted items into the game, I propose this idea,
When crafting at a basic level, crafters are limited to the normal crafting elements, e.g. handles, blades....
This would often become boring at high levels, seeing as q 300 is the highest quality item able to be crafted.
For the higher level crafters, they would be able to make handles that had a somewhat higher amount of the material used to make them, but would be containers, that had just enough capacity to hold the blade, and a gem. These could also be used with alchemy to make enchantments on the item. Once you have the blade and gem that you want for the weapon/shield/armor you could just hit combine, and in a little while, you would have whatever encrusted part you wanted to make. This is just an idea, but in my mind, it would be relatively easy to program into the game, because there is already a container system that allows you to combine the materials inside of it.