Hemp as natural plant is essentially a composite in which rigid cellulose micro-fibrils are embedded in a soft matrix composed of lignin and hemicellulose. Hemicelluloses and, to some extent, pectin are the primary components of the binding substance of the elementary bast and shive fibres, while lignin plays the part of stabilizer and screen for other fibrogenous substances. Practically all the production of hemp-based chemical pulps are still using the sulphite and sulphate processes not very friendly to environment. Specifics of the physical and chemical structure of hemp plant components are discussed in details in the introduction part of the paper. Experimental investigation of the environmentally friendly steam explosion method applied to disperse the hemp fibres into smaller bundles and individual elementary fibres is carried out, analysis of residuals after every stage of the process, effect of the pressure, and distinction between non-retted and dew-retted fibres are qualified. The effects of the content of hemp fibres on linear low-density polyethylene matrix composites are illustrated.