This is a file action, i.e. you not simply type into Alfred. Instead, you select the creator textfile (which contains the folder structure), and apply the workflow on it. (As if you applied an “Open Terminal Here” on a folder.) To achieve this, select the textfile, and invoke the file action shortcut, which is, by default,
Option+Command+\
More info here:
Show list of available Actions for selected Finder item
Tutorial (annotated and HD quality) video about the process here
I have just updated and annotated the video to avoid the blur-bug of Dropbox-movies.
Hope, this helps.
Best,
Adam