This chapter discusses the critical role of raw materials in fostering a sustainable bioeconomy in the Global South, emphasizing the intersection of environmental, socio-economic, and technological dimensions. Bioeconomy leverages biological resources to produce energy, materials, and chemicals and offers a strategic pathway for achieving sustainable development goals. Technological innovations, such as biotechnological advancements, mechanical and chemical processing, and circular economy approaches, are essential for enhancing the sustainable utilization of bioeconomy resources in the Global South. Some socio-economic impacts of bioeconomy include generating employment opportunities, income security, and rural development. However, there are some environmental impacts, including effects on biodiversity, land use, and water resources. Mitigation strategies, such as sustainable sourcing, ecosystem services, and conservation practices, are discussed to highlight the need for a balanced approach to bioeconomic growth. Furthermore, the chapter underscores the importance of robust policy frameworks and governance mechanisms in supporting sustainable bioeconomic practices. It reviews national policies, such as Brazil’s National Biofuels Policy and India’s National Bioeconomy Strategy, and the role of international collaboration and support from international organizations in promoting sustainable development. In conclusion, the chapter calls for enhanced collaboration among stakeholders, including governments, international organizations, the private sector, academia, and local communities, to foster sustainable bioeconomic development. The sustainable management of raw materials is crucial for the future of the bioeconomy, necessitating a coordinated effort to balance economic growth with environmental conservation and social equity.