Armor dye is handled differently on THF. Unlike traditional EQ, it cannot be crafted by players. Instead it is included as a gift for donations to the server, the details of which can be found here: viewtopic.php?f=14&t=1993&p=11611&hilit=dye#p11611.
Dye is also given away through prize wheels and quests during holiday events. In addition, they can also be traded, so it's not uncommon to find them in the bazaar. I've even seen dye given away by players in /ooc!