The most common and most likely answer to this crossword clue is the 7 letter word PARCELS
I've seen this crossword clue in The Daily Telegraph
P
A
R
C
E
L
S
Buddy explains!

The straight part
We know that "which go round the tree" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case which go round the tree = parcels.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does PARCELS mean?
PARCELS noun- A package wrapped for shipment.
- An individual consignment of cargo for shipment, regardless of size and form.
- A division of land bought and sold as a unit.
- A group of birds.
- An indiscriminate or indefinite number, measure, or quantity; a collection; a group.
- A small amount of food that has been wrapped up, for example a pastry.
- A portion of anything taken separately; a fragment of a whole; a part.
- To wrap something up into the form of a package.
- To wrap a strip around the end of a rope.
- To divide and distribute by parts or portions; often with out or into.
- To add a parcel or item to; to itemize.
- (plural) A parcels train, normally carrying nothing but parcels.