Storvagan was one of the first fishing villages in Lofoten. Even as early as a thousand years ago, commercial fishing operations were carried out in the Vestfjord. Every winter, fishermen from all over North Norway came here to harvest their share of the wealth of the seas. The Norwegian-Arctic cod (skrei), the pelagic cod that migrate towards the coast to spawn, formed the very basis of existence here. The catch was hung out to dry, and the resulting stockfish was a commodity in great demand.

The mediaeval town of Vagar was also located in the Storvagan area. It was the first town in North Norway and an important centre of trade and administration. In the 1300's, stockfish comprised over 80% of Norway's national exports and Vagar was the venue of extensive trading activities and cultural exchange with Europe.

Right up until the 1900's, Storvagan was the seat of powerful landowners who built their wealth on the stockfish trade.