The goblin infestation in the Austria-Switzerland region wasn't something that could be dealt with overnight. The fact that the mountains could hide these goblins was undeniable, and Durin here lacked AI combat humanoids—if they had them, Durin would have sent AI combat humanoids into the caves to wipe everything out, which would have been much faster than surrounding the area with smoke, and the goblins would not have been able to damage the armor of the AI combat humanoids.
However, those young people from Farol gained Experience from this time, and in the actions to follow, they showed no mercy to the women, eliminating the goblins even more enthusiastically than Durin had.