Fabric made from olive... (5)
I believe the answer is:
voile
'fabric' is the definition.
(voile is a kind of fabric)
'from olive' is the wordplay.
'from' is an anagram indicator (from the letters).
'olive' is an anagram of 'VOILE'.
'made' is the link.
(Other definitions for voile that I've seen before include "fine material" , "Light semi-transparent fabric" , "Sheer fabric" .)