Cedar paper is a real thin slice of untreated cedar wood. It is fun to play with and sort of reminds me of cooking with parchment paper packets. You soak the cedar in water, wine, sake or any other flavor you would like to steam with. Wrap the food and put it on the grill. It starts out steaming the food, then as it dries out the paper will start imparting smoke. The cedar flavor itself is very subtle and is more to do with the flavors you add to the wrap. It also makes a fun presentation to serve still on the cedar. Grill stores sell them in small stacks of 8 or you can find them in cooking stores. I have even seen them at Target.
This makes a great side to go with my Steak seasoned with bacon fat recipe.