Blue material produced by corporations from the East (4)

I believe the answer is:

smut

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'blue material' is the definition.
(I've seen this before)

I can't explain the remainder of the clue.

(Other definitions for smut that I've seen before include "porn?" , "Piece of dirt or salacious talk" , "Dirt or immoral talk" , "Dirt or obscenity" , "Soot flake; fungal disease" .)

I've seen this clue in The Telegraph.

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