While originally one of the island's largest farming villages, today it is renowned for its position in Norwegian shipping industry.

Until 1964, the village was divided between two municipalities: Fjelberg and Skånevik, with the border running in parallel with today's main road called Slettanesveien.

Bjørgjo was sold to the Halsnøy Abbey landlords, and remained in their possession until the 1580s, while Tveito and Mjelkevik were incorporated into Hauge as farmland.

Meanwhile, the introduction of new tools and machines, along with the villages prime location near the coast, opened up for a new industry: shipbuilding.

The founder, Georg Eide Sr. (9 December 1896 – 16 October 1951), remained in charge of the company until his sudden death in 1951, resulting in temporary closure..

They continued focus on building wooden vessels for the fishing industry, and during the first decade, the company grew fast.

[citation needed] In addition to public school, the village has had a general store since 1955, and also had postal and banking offices until 1995, when services were centralized to Sæbøvik.