Cooking in a dream, one might put chicken in this (8)
I believe the answer is:
marinade
'one might put chicken in this' is the definition.
(chicken might be marinaded)
'cooking in a dream' is the wordplay.
'cooking' indicates an anagram (cook can mean to falsify or distort).
'in'+'a'+'dream'='inadream'
'inadream' is an anagram of 'MARINADE'.
(Other definitions for marinade that I've seen before include "Spiced liquid in which food is soaked before cooking" , "Spicy liquid for soaking meat or fish" , "get saturated" , "pickle" , "Liquid for soaking food before cooking" .)