Cats have been known to eat dirt and chew paper and bits of cloth.
To determine if this habit is harmful for your cat, have your veterinarian examine your cat and have a blood profile done to rule out a problem, such as anemia, that might make your cat seek such substances, such as dirt, that could provide trace minerals.
Some cats eat or chew odd things for fun, but when they eat dirt or ashes, anemia becomes a concern. If the cat's blood work is normal, then you can attribute the cat's behavior to a feline quirk. Dirt and paper are not harmful, but try to keep the cloth away from the cat; it could obstruct the cat's bowel.