Lately, food waste has become an alarming issue because of its negative effects on society and environment. Food waste occurs in every step of supply chain from its harvesting to consumers' plate. Producing retail food waste contributes comparatively less than the consumer waste but it can make potential effects in the society. It has been estimated that every year European Union grocery retails have produced 4.4 million tons of food waste, which is exactly 5% of the whole food wastage across the European Union food supply chain that is either entirely edible or partially edible. Decomposing food waste produces various types of greenhouse gases, which are one of the reasons of climate change. Different policies are implemented in developed countries like the United Kingdom, Norway and Sweden, for reducing waste and handling the surplus retail food waste. However, policies are absent in a developing country like Bangladesh. Though the reason for retail food waste is constant, the effect is vast and scattered. The aim of this paper is to find out the status of food waste research from a small retail sector but elaborate the academic area of retail food waste by reviewing studies on food waste and clear the factor that nourishes and hampers the generation of food waste in retail level. Moreover, this paper briefly describes some preventive methods that can encourage to reduce waste and also mention some ways of tackling the retail food waste, especially surplus food. The analysis makes a clear view that the reason of retail food waste is quite similar in every aspect and its prevention depends mostly on stakeholders and customers' behavior. At the end of this study, a set of connection shows the relationship between the retail food waste and policy implication.