Before World War I, there was a large farm machinery factory in the town that employed more than 400 workers, located near the train station.

The city was the seat of the local Jewish rabbinate, and the home of a "miracle worker" Rabbi Chaim Hager.

In 1941, the Germans and Ukrainians living in the area massacred the local Jewish population.

After World War II, many of the Poles living in the town were expelled or left, moving to Poland.

On this day, a new law entered into force which abolished this status, and Otyniia became a rural settlement.