Receiver accepts first-class earthenware (7)
I believe the answer is:
faience
'earthenware' is the definition.
(I know that faience is a type of earthenware)
'receiver accepts first-class' is the wordplay.
'receiver' becomes 'fence' (I've seen this before).
'accepts' indicates putting letters inside.
'first class' becomes 'ai' (A1 - top quality).
'fence' placed around 'ai' is 'FAIENCE'.
(Other definitions for faience that I've seen before include "ceramic ware" , "porcelain" , "A glazed earthenware" .)