Composting materials such as wood chips can be used in your garden, but you should bear in mind some important factors before doing so. Composting them will work best if the chips are as small as possible, preferably 1-2 inches at most, and it is a long, slow process that can take as long as three or four years. If you have a lot of wood chips, you might want to create a separate pile in an out-of-the-way corner of your garden. Also, wood chips are a great source of carbon, but they contain very little nitrogen, so you’ll need to add green material to wood chips in compost.

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Source: Gardening Know How