Here is another case where this tense is translated not as 'we are not wanting' but 'we do not want'. OK I get that. So why not 'They don't make cakes in this kitchen' instead of 'They are not making cakes in this kitchen; for "Bu mutfakta pasta yapmiyorlar'? (I know it's the wrong 'i' but I can't access that other 'i' here. )
I would say it should. For me, the question came in "choose the buttons" form instead of free-response, so "don't" wasn't an option. But in general with Duolingo, it seems that avoiding contractions is the "safe" way to go: Their answers generally have "it is" in place of "it's", etc.