The story of Djúpavík begins in 1917 when the herring factory was built there and people from all over moved there to work in the factory. Icelanders call it “the herring fairytale”, but it ended abruptly in 1919 when the factory went bankrupt. The next herring adventure started 15 years later in 1934 and the factory was renovated and expanded. The operation was going well, there was plenty of work and plenty of jobs for the people in the village. But then the herring started to disappear from the sea and finally the factory was closed in 1954.