Hemp – Medicinal Plant in Hype

Interview with Mark Reinders, CEO of HempFlax Group B.V.

HempFlax Natural Product with Potential
Hemp – a traditional natural product with multifaceted potential

It is one of the oldest cultivated plants in the world, excites in various areas with enormous potential – and had almost been forgotten due to decades of cultivation prohibition: the hemp plant. Today, it is experiencing a revival; legalization has led to a real hemp hype. HempFlax Group B.V. from Oude Pekela, the Netherlands, has long been and very successfully involved in the cultivation, harvesting, and processing of this ecologically valuable, versatile natural product.

Hemp is a natural building material, used in industrial applications from car parts to furniture, serves as high-quality animal bedding, stands out as insulation, and acts as CBD oil which has proven health benefits. Since 1993, HempFlax has been utilizing the great potential of the hemp plant.

Ben Dronkers founded the company that year. He was considered a pioneer in hemp processing and had already established a museum for hemp and cannabis in Amsterdam in the 1980s, which today has a branch in Barcelona.

The focus on the time-honored crop and its processing has thus long been a focus for the Dutchman. While hemp had largely disappeared from public focus for political reasons over time, Ben Donkers began demonstrating its versatile applications.

Pioneering Work with a Green Thumb

From this work, a company has developed, which today employs 70 people, generates a revenue of 14 million EUR and has factories and cultivation areas in the Netherlands, Germany, and Romania.

HempFlax Insulation Material
The applications range from insulation materials to animal bedding to calming CBD preparations

"Through contract farming in Holland, we source 1,400 ha of hemp," says CEO Mark Reinders. "To meet different requirements and ensure quality, we harvest with our own machinery. In Romania, we operate a 900 ha agricultural farm where we grow hemp and flax, two fiber crops that differ significantly in size. Environmental protection is always a priority in our work, so we fundamentally do not use pesticides. We operate very sustainably overall and have a negative CO2 balance."

Depending on the application, the raw materials are then processed accordingly in the plants. Traditional applications include the automotive industry, where hemp is used, for example, for interior door panels. Hemp reinforces the door and replaces the usual fiberglass. Due to the environmentally friendly, lighter natural fiber, the car becomes lighter overall, which significantly reduces energy consumption.

Hemp-based animal bedding is suitable for both large and small animals. In the construction industry, hemp excels as insulation material. "In 2020, we acquired the company Thermo Natur from Bavaria and have since been able to produce our own insulation materials," emphasizes Mark Reinders. "The fiber is enriched with salt and melt fiber and treated with heat. Both in the roof area and on the floor, the fiber impresses with its excellent insulation properties."

Last but not least, industrial hemp is used as CBD. The leaves are separated, dried, and extracted for this purpose. The extract contains cannabidiol and has a proven calming and relaxing effect. "Currently, the legal situation in the EU is not yet clear, so we are waiting for approval as a food product," explains Mark Reinders. "Various studies are currently underway that deal with the positive effects of CBD in medications as well. We are working in this area with a sister company and supply only the raw material."

The potential for more

Accordingly, the market offers a lot of potential; the competition is correspondingly large. HempFlax operates across Europe and anticipates further growth - after all, the company is one of the few that covers the entire chain from cultivation through harvesting to processing into the final product.

"The demand for hemp derivatives is growing steadily," says Mark Reinders. "We will therefore expand our capacities in Romania and the Netherlands and bring more distribution partners on board. A change in public awareness has begun, and climate protection is a central issue. Products like hemp play a major role against this background. Additionally, there will be new areas of application in the future, and corresponding experiments are already underway. We are confident that we can grow with the booming market."