The town of Ugarchin has a population of 3 000 inhabitants and lies at a distance of 36 km southwest of Lovech. The town is the municipal centre of 12 settlements. In the vicinities of Ugarchin there are remains of a settlement from the Bronze Age, Thracian mounds and the ruins of a medieval settlement. The first written evidence for the existence of the town dates back to 1430 when the settlement is mentioned under the mane of Ugradishte. The municipality is specialized in the production of fruits, grain, fodder and briars.