The environmental initiative has been put in place at the Bungay operation as part of a push to secure the ISO 14001 environmental standard by the end of the year.
The paper dust collection process begins once the paper handling and printing process is complete. The remaining paper dust is collated throughout the Clays facility as the site is cleaned.
The dust is then incinerated in order to burn away the elements that cannot be recycled and Clays' waste management company, ORM North Norfolk, takes the resulting paper ash away.
The paper ash is collected every four to five weeks and then mixed into the worm cast, which houses the soil and compost where the worms live.
Clays commodity buyer David Steward said "We are delighted to introduce this initiative at Clays.
"Not only is it a great fit for our business, and value added ethos, but we believe that it is further demonstration of our responsibility to the environment, and our push to achieve ISO 14001 accreditation by the end of 2008," he added.