The library began its activities on January 1, 1939. The first director was Jeronimas Jankauskas. The collection consisted of 500 copies of books, read by 93 readers.
The period of 1950–1959 was rich in the beginnings of library work. From 1952, books began to be classified according to Tropovsky's "Decimal Classification". In 1953, the Children's Literature Department was established. In 1954, cataloging of new books began, and monthly meetings took on the nature of seminars. Books from the Klaipėda Public Library via the TBA began to be received from 1955. In 1957, one of the first librarian's days in the country was organized in the Mosėdis Library. Regional research work began in 1959, and a year later, a card index was organized.
In 1963 , the library moved into its current building. In that year, free access to the collections was introduced for readers.
January 2003 marked the 40th anniversary of the library being located in the building of the House of Culture.
In 1966 , the collection of gramophone records began. This was the beginning of the Music Department.
After 1990 , as the country's economic situation worsened, the network of public libraries in the district was reduced. In 1992, after the education and culture departments were merged, 8 village libraries became school libraries. In 1999, the district government reorganized the public library and school libraries into the Skuodas Public Library, subordinate to the municipality.
In 2005, the Public Library administration and acquisition department moved to separate premises at Birutės St. 8.
In 2006, the inclusion of the construction of a new library building in the “Library Renovation and Modernization Program 2003-2013” was initiated, and in the same year, the Skuodas District Municipality Council approved the construction of a new public library building. It is important to mention that in the midst of the design and construction process, on October 1, 2015, the library was given the name of the Lithuanian prose writer, playwright, and essayist Romualdas Granauskas.
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