This year's dawn service, held on the bank of Karuah River, was particularly poignant as the community marked the recent passing of two of their own - Graeme Parker and Reg Cowling.

The pair, who were Royal Australian Air Force veterans aged in their 70s, were tragically killed earlier in April after the car they were travelling in was involved in a collision with a truck on the Pacific Highway at Ferodale.

"It would be remiss of me if we didn't remember Graeme and Reg this morning - two of our comrades who are normally here and were tragically removed from us," Father Gary Parker said during his address to the crowd in Memorial Park.

"We remember Picker [Graeme] and Reg but especially Picker who used to have to do battle with the amplifying system each year."

At this point, Father Gary had the 600 to 700 people gathered in the park laughing.

"We never knew what it would do next and it looks like the tradition has carried on.

"Something lives in that box [speaker]. We can't work out why it crackles and bubbles.

"Picker would be pleased that he wasn't the only one that used to muck it.

"Let us remember Picker and Reg.

"Lord, we thank you for our two comrades take care of them."

Karuah RSL Sub-Branch president Peter Fidden said the dawn service was one of their strongest yet.

He said it was "magic" to see the turnout on Thursday morning.

As is a Karuah tradition, Diggers and their family, emergency services and members of the community marched down the Pacific Highway to the Memorial Park cenotaph to begin the dawn service.

The large contingent of marchers were led by bagpipe player Matt Gervasoni from the City of Newcastle RSL Pipe Band.

Mr Gervasoni shared bagpipe duties throughout the service with Karuah RSL Sub-Branch member Gary Watt.

Mr Fidden emceed the service.

John Johnson delivered the Prayer for the Queen, Bob Long the Prayer for Peace, Karuah Public School student Lakeia Saunders read the In Flanders Field poem and John Morgan recited the Commemoration of the Fallen.

RAAF Wing Commander Alistair Third delivered the Anzac Address.

"At this very moment on this very day 104 years ago the Anzac spirit was forged. It's a spirit that encompasses courage, endurance, ingenuity, good humour and mateship," he said.

"It was forged not by professional armies but by ordinary citizens of Australia and New Zealand. Men and women drawn to a cause, not a career... we are here to honour their deeds and to breathe their spirits.

"They were young and they were fit. The world was at their feet. But the circumstances of history prevailed upon their generation to sacrifice their future in order to guarantee our future. They responded with selfless bravery and we, all of us, are the beneficiaries."

To round out the service, Port Stephens musician Lee Clayton and students from Karuah Public School sang a song penned for the occasion, titled With Respect.

Father Gary delivered the benediction and the national anthem was sung before the crowd dispersed and made its way to Karuah RSL Club.

Karuah's main Anzac Day service will be held at the memorial wall outside the club from 9am.