Urban food systems impact environmental, economic, and social aspects of city life. However, the current organization of the food system is recognized as unsustainable, leading to increasing interest in circular food systems that aim to break away from linear consumption patterns. Despite this, the governance arrangements and policy instruments supporting circular food systems remain underexplored. This paper addresses that gap by reviewing existing literature on governance arrangements and policy instruments used by local governments to promote circular food systems, identifying practices, gaps, and potential pathways toward circular urban food systems. The results of the review indicate that many articles lack clear definitions of circularity, indicating the conceptual openness of circularity. Waste management dominates the policy objectives, including both recycling and reducing food waste. But also social aspects are targeted, such as food security and food sovereignty. Regarding policy instruments, informational and financial instruments are most commonly studied, while regulatory and organizational tools are less prominent. Governance arrangements are mostly collaborative, involving multi-stakeholder partnerships, but the political dynamics and effectiveness of these arrangements for more circular outcomes should be further investigated. In this regard, the article discusses the potential for more engagement with governance and public policy theorization to understand the role of urban circular food policies in governance, policy formulation, and implementation.