Items in paper covering participants in match (8)
I believe the answer is:
confetti
'items in paper' is the definition.
'confetti' can be an answer for 'paper' (confetti is a kind of paper). I'm unsure of the 'items in' bit.
I don't understand how the rest of the clue works.
(Other definitions for confetti that I've seen before include "Small pieces of coloured paper" , "Stuff to throw at weddings" , "Tiny bits of celebratory coloured paper" , "Paper pieces festively thrown" , "Celebratory scraps of coloured paper thrown at weddings" .)