diff --git a/patches/server/0005-Paper-config-files.patch b/patches/server/0005-Paper-config-files.patch
index 38b5d938a5..199fcccc04 100644
--- a/patches/server/0005-Paper-config-files.patch
+++ b/patches/server/0005-Paper-config-files.patch
@@ -1414,10 +1414,10 @@ index 0000000000000000000000000000000000000000..990d1bb46e0f9719f4e9af928d80ac6f
 +}
 diff --git a/src/main/java/io/papermc/paper/configuration/WorldConfiguration.java b/src/main/java/io/papermc/paper/configuration/WorldConfiguration.java
 new file mode 100644
-index 0000000000000000000000000000000000000000..7509b17414f836e8b53fc62b02b386ba4e8c5ca9
+index 0000000000000000000000000000000000000000..4bcf27f98765abf693e535cfc1756c27a10cb316
 --- /dev/null
 +++ b/src/main/java/io/papermc/paper/configuration/WorldConfiguration.java
-@@ -0,0 +1,551 @@
+@@ -0,0 +1,554 @@
 +package io.papermc.paper.configuration;
 +
 +import com.google.common.collect.HashBasedTable;
@@ -1474,6 +1474,7 @@ index 0000000000000000000000000000000000000000..7509b17414f836e8b53fc62b02b386ba
 +import org.slf4j.Logger;
 +import org.spigotmc.SpigotWorldConfig;
 +import org.spongepowered.configurate.objectmapping.ConfigSerializable;
++import org.spongepowered.configurate.objectmapping.meta.Comment;
 +import org.spongepowered.configurate.objectmapping.meta.PostProcess;
 +import org.spongepowered.configurate.objectmapping.meta.Required;
 +import org.spongepowered.configurate.objectmapping.meta.Setting;
@@ -1710,6 +1711,8 @@ index 0000000000000000000000000000000000000000..7509b17414f836e8b53fc62b02b386ba
 +
 +            public boolean disablePlayerCrits = false;
 +            public boolean nerfPigmenFromNetherPortals = false;
++            @Comment("Prevents merging items that are not on the same y level, preventing potential visual artifacts.")
++            public boolean onlyMergeItemsHorizontally = false;
 +            public PillagerPatrols pillagerPatrols;
 +
 +            public class PillagerPatrols extends ConfigurationPart {
@@ -5053,7 +5056,7 @@ index e433037a03ffafabb952887ae3980e1d51411d4c..c061813d275fbc48d7629cc59d90dbb4
          this.world = new CraftWorld((ServerLevel) this, gen, biomeProvider, env);
  
 diff --git a/src/main/java/org/bukkit/craftbukkit/CraftServer.java b/src/main/java/org/bukkit/craftbukkit/CraftServer.java
-index e8fac2863c5feb875cf0c78f062b4b87acbcb49b..751900e0c2a946ba4291174c81b2bdbdbe994e94 100644
+index 3c0691ef65c8db1002b76984f4ddfe2072d793c9..b3c4cdd9cfff6857f3007fbd91a280bcc53ab072 100644
 --- a/src/main/java/org/bukkit/craftbukkit/CraftServer.java
 +++ b/src/main/java/org/bukkit/craftbukkit/CraftServer.java
 @@ -962,6 +962,7 @@ public final class CraftServer implements Server {
diff --git a/patches/server/1045-Configuration-for-horizontal-only-item-merging.patch b/patches/server/1045-Configuration-for-horizontal-only-item-merging.patch
new file mode 100644
index 0000000000..1c45d3f2f0
--- /dev/null
+++ b/patches/server/1045-Configuration-for-horizontal-only-item-merging.patch
@@ -0,0 +1,28 @@
+From 0000000000000000000000000000000000000000 Mon Sep 17 00:00:00 2001
+From: Newwind <support@newwindserver.com>
+Date: Wed, 7 Aug 2024 13:25:55 +0200
+Subject: [PATCH] Configuration for horizontal-only item merging
+
+Most of the visual artifacts that result from having item merge radius above vanilla levels is from items merging vertically,
+which realistically, only happens when a player is dropping items, or items are dropping from breaking a block.
+
+Most of the scenarios where item merging makes sense involves the two item entities being on the same Y level. i.e on the ground next to each other.
+This is even more apparent since paper fixed items being able to merge through blocks.
+
+This patch allows us to configure items to only merge horizontally, which is what vanilla does.
+This allows us to have both the reduced number of item entities a high item-merge radius provides,
+without most of the visual artifacts caused by items merging vertically.
+
+diff --git a/src/main/java/net/minecraft/world/entity/item/ItemEntity.java b/src/main/java/net/minecraft/world/entity/item/ItemEntity.java
+index ea0d9335446b20073b9aafb9de453097355db79c..607f1a9802eb0ff4865af4c53f302128a6e6fe02 100644
+--- a/src/main/java/net/minecraft/world/entity/item/ItemEntity.java
++++ b/src/main/java/net/minecraft/world/entity/item/ItemEntity.java
+@@ -284,7 +284,7 @@ public class ItemEntity extends Entity implements TraceableEntity {
+         if (this.isMergable()) {
+             // Spigot start
+             double radius = this.level().spigotConfig.itemMerge;
+-            List<ItemEntity> list = this.level().getEntitiesOfClass(ItemEntity.class, this.getBoundingBox().inflate(radius, radius - 0.5D, radius), (entityitem) -> {
++            List<ItemEntity> list = this.level().getEntitiesOfClass(ItemEntity.class, this.getBoundingBox().inflate(radius, this.level().paperConfig().entities.behavior.onlyMergeItemsHorizontally ? 0 : radius - 0.5D, radius), (entityitem) -> { // Paper - configuration to only merge items horizontally
+                 // Spigot end
+                 return entityitem != this && entityitem.isMergable();
+             });