[1] The etymology of the town's name is uncertain, but it is thought to derive from the common word gargždas, meaning "pebbles, gravel".

[3] It seems reasonable to suggest that the name of the town is derived from the Gargždupis River, which flows in the vicinity of the Kalniškė hillfort adjacent to Gargždai.

In written sources Gargždai was first mentioned in 1253, in the partition act of the Teutonic Order and the Curonian Bishopric (Garisda).

In 1639, the King Władysław IV Vasa allowed Jews to settle in the towns of Gargždai and Palanga as well as have to have their own plots, build houses, open warehouses, and engage in various businesses.

Both industrial and commercial purpose land with a total area of 9.3 hectares (23.0 acres) is offered to foreign and domestic investors.

It is expected that the new industrial park will attract foreign investments, create new job vacancies for the unemployed in the region and proclaim the city of Gargždai in other countries.

With around 800 Associates, "Mars Lietuva" produces more than 85 000 tones of over 400 different recipe varieties and formats of pet food annually, which is mainly exported to over 30 European countries.