In 2019, a staggering 931 million tons of food went to waste, which is equal to about 17% of all the food available in stores. Dealing with this waste and managing wastewater from various industries will be among the world’s top challenges soon. This is because the global population is expected to grow to around 9 billion people by 2050. Food processing effluent is characterized by valuable material in considerable concentrations, including proteins and lipids with low concentrations of heavy metals and toxicants. Developing an integrated management system for food-processing wastewater should focus on recovering abundant resources, improving the economic value of the process, and mitigating the organic contaminant in the food-processing effluent. This state-of-the-art will review the wastewater management processes of the food processing industry. The latest wastewater treatment processes in different food processing sectors will be reviewed. This review will encompass various physicochemical treatment and recovery techniques, such as precipitation, membrane technology, solvent extraction, foam fractionation, adsorption, and aqueous two-phase systems. Additionally, it will delve into bio-treatment processes that leverage microorganisms and/or enzymes to utilize nutrients found in food-processing wastewater as cost-effective substrates for the production of valuable products. This includes a detailed examination of microalga biomass production within wastewater treatment systems. Finally, the review will put forward future research directions aimed at integrating the principles of the circular economy and developing comprehensive food-processing wastewater management systems.