In the southern part of Mosėdis, in the village of Naujukai, the old Jewish cemetery, also called "Žydkapiai," stands as a unique cultural heritage site dating back to the 17th century. The cemetery remains a historical symbol in the Skuodas district. Situated on an island in the reservoir, the cemetery is enclosed by a stone embankment, parts of which have been submerged underwater, and surrounded by alder trees that contribute to its distinctive natural scenery. Within the cemetery, there are around 20 concrete gravestones and gray granite monuments inscribed with Hebrew characters, along with a memorial stone adorned with the Star of David and inscriptions in Yiddish and Lithuanian.
At the end of the 17th century, the first Jewish settlers began establishing themselves in Mosėdis, and by the 18th century,
a thriving community had developed, becoming an integral part of the town’s economic and cultural life. The Jewish population lived along the main streets, engaging in trade, crafts, and leasing inns and mills. By the early 20th century, Mosėdis had a synagogue under construction, a Jewish school in operation, and a cemetery established on communal grazing land. In 1941, during World War II, most of the Jewish community in Mosėdis was executed by German soldiers. Post-war, the cemetery fell into neglect, with many gravestones toppled. When the Bartuva River was dammed in 1972, the cemetery became an island. The site was registered as cultural heritage, and in 1991, through the initiative of Jakovas Bunka, a commemorative stone was erected to honor the memory of the Jewish community of Mosėdis.