Ochre compound turns to smoke (7)
I believe the answer is:
cheroot
'smoke' is the definition.
(type of cigar)
'ochre compound turns to' is the wordplay.
'compound' indicates anagramming the letters.
'turns' is a reversal indicator.
'to' back-to-front is 'ot'.
'ochre' is an anagram of 'chero'.
'chero'+'ot'='CHEROOT'
(Other definitions for cheroot that I've seen before include "Havana?" , "Cigar with open ends - hot core (anag)" , "Square-cut cigar" , "With both ends cut off squarely, is smoked" , "One smoked" .)