You need fuel, like charcoal (chop down trees, turn into charcoal at a... kiln?) to power the reaction. You can avoid this hassle be removing the brackets from the [FUEL] tag.
Furthermore, if you are going to gen a new world, you might as well edit... the matgloss_stone_mineral and matgloss_stone_layer files as well.
Make some of the minerals more common by making them appear in more biomes, and tone down the really common stones like microcline/alunite/orthoclase/olivine (personal preference, really. If you do want to change them, try CLUSTER_SMALL, it should get rid of those ridiculously large areas of useless stone, in favor of smaller clusters that don't clutter the place up quite so much. You could also make them veins.)
If you don't wanna mess with what appears where, try to embark on a sedimentary layer, they tend to have some of the most interesting stuff in them. Even better is a sedimentary layer with a igneous layer nearby.
Edit: you really only want the matgloss_stone_mineral file, it has the metalwork stuff in it. Something you can do before genning a new world is make some of the more interesting metals appear in
[ENVIRONMENT:ALL_STONE:VEIN:100]
instead of whatever they already had. This should net you some of whatever it is almost anywhere you embark. You *MIGHT* not find it, but chances are you will. World gen has some weird quirks some times, and some stones/gems don't get bumped in favor of others. Think of them as if they where competing for space on your map, and some of them don't make the cut.
Edit2: You might also try smelting just bars instead of making stone. This is a much simpler change if you wanna do it the cheaty way.
Lets say you want pig iron bars, because you don't wanna cheat and just get straight steel
[REACTION:PIG_IRON_MAKING]
[NAME:make pig iron bars]
[SMELTER]
[REAGENT:1:BAR:NO_SUBTYPE:METAL:IRON]
[REAGENT:1:REACTION_CLASS:FLUX]
[REAGENT:1:BAR:NO_SUBTYPE:COAL:NO_MATGLOSS]
[PRODUCT:100:1:BAR:NO_SUBTYPE:METAL:PIG_IRON]
[FUEL]
change it to...
[REACTION:PIG_IRON_MAKING]
[NAME:make pig iron bars]
[SMELTER]
REAGENT:1:BAR:NO_SUBTYPE:METAL:IRON
REAGENT:1:REACTION_CLASS:FLUX
REAGENT:1:BAR:NO_SUBTYPE:COAL:NO_MATGLOSS
[PRODUCT:100:1:BAR:NO_SUBTYPE:METAL:PIG_IRON]
[FUEL]
And tada, you can smelt pig iron bars without needing any of the reagents. You can also nix the fuel tag if you don't have any magma smelters.