Although research on supply chain management has made many valuable contributions, there is a dearth of empirical evidence and theoretical reflection on the characteristics of supply chains operating mainly in emerging economies. Consequently, the literature still lacks a framework that incorporates the context and dynamics encountered in such settings. The aim of this paper is to help to fill this gap by exploring how sustainability can be managed within supply chains in Brazil and how the results of this challenge can potentially bring new insights for managing sustainability in other emerging economies. This research employs grounded theory approach and case study method in the upstream part of the Brazilian offshore oil and gas supply chain, which involves a successful case of a focal company that was able to incorporate sustainability into its supply chain. This research contributes to the literature by identifying and discussing those additional barriers encountered in Brazil due to unique idiosyncrasies and institutional environment. Also, this paper shows that pressing social issues increase supply chain uncertainty and that focal companies play an even more important role to endorse new technologies, increase integration, enhance collaboration and promote sustainable supply chains in countries like Brazil, where the identified barriers are particularly salient. Also, this research argues that natural resource-based supply chains may be more geographically bounded than other supply chains and that sustainable supply chains can only be successfully implemented through innovation, which becomes a critical driver for supply chain enhanced sustainability performance. [ABSTRACT FROM AUTHOR]