Developing the food processing industry not only contributes to increase the added value of Vietnamese agricultural products but also resolves the stable output for farmers. In the value chain of the Vietnamese agriculture, developing the food processing industry is aim to further strengthen the industry-agriculture alliance in the new period. Based on analysis of the secondary data on the food processing industry, the research shows that the Government of Vietnam has many policies to support the development of this industry both in production inputs and market outputs for the processed food products. The food processing industry of Vietnam has achieved many remarkable achievements, but not commensurate with the development potential. Based on that, the article identifies the posed issues and suggests some policy solutions to develop this industry in the coming time.