Wine produced by Middle Eastern country endlessly (7)
I believe the answer is:
Here is my best explanation:
'wine' is the definition.
(Madeira is an example)
'produced by middle eastern country endlessly' is the wordplay.
'produced' becomes 'made' ('make' can be a synonym of 'produce'**).
'by' means one lot of letters go next to another.
'middle eastern country' becomes 'iraq' (I've seen this before).
'endlessly' means to remove the last letter.
'iraq' with its last letter removed is 'ira'.
(Other definitions for madeira that I've seen before include "A fortified wine, a rich sponge", "Wine from an island", "cake producer", "Islands in the Stream?", "Rich, fortified white wine", "Portuguese island, capital Funchal", "Drink", "Dessert wine from a Portuguese Atlantic island", "drink" and "Sponge-cake".)