Lyocell man-made cellulosic fibres (L-MMCF) have been commercially available since the mid-1990’s, with the typical feedstock prepared from tree pulp or cotton linters. In recent years, there have been advancements in the utilisation of high alpha-cellulose agricultural biomass for L-MMCF feedstock. Industrial hemp stalks offer a unique opportunity for L-MMCF since hemp is considered an environmentally conscious crop that can also help to bridge the gap in worldwide cellulose shortages; additionally, industrial hemp stalks are high in alpha-cellulose, making this an ideal feedstock for L-MMCF manufacturing. This review paper outlines the lyocell process in detail, including processes for preparation of feedstocks, pulp processing, removal of contaminants and nonessential plant components, pulp dissolution, dope preparation, and fibre spinning. Opportunities and challenges associated with the utilisation of industrial hemp stalks as an alternative feedstock are addressed through all steps of the manufacturing process. Incorporating alternative feedstock opens new perspectives for manufacturing sustainable L-MMCF.