Shredded Paper Recycling Cart Place shredded paper in a clear, plastic bag before putting it in your recycling cart. OK to Compost Shredded paper is compostable as long as it’s not colored or glossy. Mix two-parts paper with one-part grass in your home compost pile. Ways to Reduce Shred Selectively It’s not always necessary to shred a document entirely. You really only need to shred the parts that contain private information. If protected info is removed and shredded, the rest of the document can be recycled. Did You Know? Why Shredded Paper Can Be Hard to Recycle Shredding a piece of paper shortens its fibers, which reduces its value. Shredded paper is almost too small to be useful to recyclers. It’s possible for shredded paper to contaminate the recycling process by slipping past the paper-making screens.