The Cabinet decided on Wednesday to keep the restrictions on entering and leaving the town, imposed last Thursday, in place until 11:59 p.m. on April 24.
The government had considered extending the measures for another week, but Health Minister Aurelijus Veryga said at the Cabinet's meeting that the town's residents had been strictly following the quarantine requirements.
He said the outbreak was largely limited to Vilnika, a local garment, and had been contained.
The strict measures were put in place after a COVID-19 infection outbreak had emerged at Vilnika, and two members of the staff at Senevita, a local nursing home, had tested positive for the virus.
Mass testing for COVID-19 of all adults living and working in Nemencine, which is located some 20 kilometers northeast of Vilnius, has been underway.
Almost 2,000 people had been tested by Wednesday noon and the results of 19 tests came back positive, according to the National Public Health Center.