In North Vietnam, small-scale cassava and canna starch processing is conducted in densely populated craft villages of Hoai Duc district (Hanoi), where processors face difficulties to expand their activities such as densely population, pollution and competition on fresh roots for processing. As a result, the amount of processors at these craft villages has decreased recently, but increased processing capacity and improved processing equipments. However, with the advantages on processing technology, man power and support service surroundings, processed products of the craft village are known as high competition capacity, not only to meet for domestic demand but also for export. There are linkages between craft villages with wet starch processors in rural areas of Northern mountainous provinces in processing equipment supply, marketing service, money investment and transfer of processing technology. Of which, craft villages play an important role for expansion and movement small-scale wet starch processing to other rural areas. There are potentials for dissemination of small-scale wet starch processing to local processing at northern mountainous provinces. However, it will take time for promotion of ruralization or decentralization of cassava and canna wet starch processing in Northern mountainous provinces of Vietnam. Potential, opportunity and capacity for small-scale wet starch processing on canna at Northern mountainous provinces looks better than cassava, due to the demand of canna noodle in Vietnam is high. Therefore, is needed a suitable policy to balance the development of two targeted crops of cassava and canna.