Piece of bagel placed in dry container (7)
I believe the answer is:
section
'piece' is the definition.
(both can mean a part of something)
'bagel placed in dry container' is the wordplay.
'bagel' becomes 'O' (circular).
'placed in' is an insertion indicator (I've seen this in other clues).
'dry' becomes 'sec' (similar in meaning).
'container' becomes 'tin' (tin is a kind of container).
'sec'+'tin'='sectin'
'o' going inside 'sectin' is 'SECTION'.
'of' is the link.
(Other definitions for section that I've seen before include "Distinct part" , "Segment" , "Department, division" , "Element" , "Divide; part" .)