Context and aim: A growing number of Australian local governments (LGs) have introduced innovative food system policies, yet there is limited research on policy development and implementation. Through six case studies of LGs in New South Wales (NSW) and Victoria, this study explored processes of food system policy development and implementation, including barriers and enablers, and how LGs can be supported to strengthen action on food system governance. Methods and analysis/research findings: We conducted focus groups with six LGs (3 NSW and 3 Victoria) representing different levels of policy development and geographic locations within the two states. Participants described community consultation and drawing on community support as important mechanisms of policy development. LGs implemented policies using a wide range of governance tools, on issues including food system sustainability, nutrition/diet-related health, and food waste. A core feature of policy implementation was supporting community organisations to implement activities “on the ground”. However, the lack of a state government mandate and insecure funding restricted LG’s engagement with food system issues. Access to examples of successful policy implementation was identified as an important enabler to future action by LG. Translational outcomes: These case studies present examples of successful food systems policy development and implementation by Australian LGs. These findings demonstrate to other LGs the ways in which they could engage strategically in food systems policy making, and the factors enabling policy implementation. Future actions: LG makes an important contribution to the coordinated, whole-of-society approach required to address the health, sustainability and equity challenges created by contemporary food systems but they face considerable barriers to maintaining and increasing their food system work. The public health sector could play a role in advocating for state- and national-level policy and legislative frameworks that would better enable LGs’ efforts toward creating a healthy, sustainable, and equitable food system.