Dry tree made for squirrel (7)
I believe the answer is:
secrete
'for squirrel' is the definition.
(I've seen this before)
'dry tree made' is the wordplay.
'dry' becomes 'sec' (similar in meaning).
'made' is an anagram indicator.
'tree' with letters rearranged gives 'rete'.
'sec'+'rete'='SECRETE'
(Other definitions for secrete that I've seen before include "Cache" , "Hide or conceal an object" , "Hide away" , "squirrel" , "Hide; as gland does" .)