About eight died after the shooter's rampage," Mayor Patrik Kuncar said in a live broadcast.
He quoted police as saying the attacker had killed himself after the shooting spree.
"I have been conveyed information that it was a 60 year old local man, probably mentally unstable," said Kuncar, mayor of Uhersky Brod, 300km southeast of Prague.
"I assume this was an isolated incident. I cannot see security measures that would prevent incidents like this," he said.
"We have various anti-terrorist measures but we can see that, here, probably a lone shooter struck with no warning."
Interior Minister Milan Chovanec had earlier told news agency CTK he had been informed there were eight victims.
Czech Television said the attacker fired about 25 rounds. An eyewitness told the channel he had seen around 10 police cars arrive and police putting on bulletproof vests.
Such shooting incidents are very rare in the central European country of 10.5 million. Uhersky Brod is a town of 17,000 in the Moravia region, near the border with Slovakia.
The shooting took place at around lunchtime in the Druzba restaurant in the southern part of the town, a residential area.
