Hundreds of people lined Morpeth's main street to applaud veterans and their families as they marched towards the cenotaph, ahead of the Anzac Day service.
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Students from several primary and high schools marched behind them, some proudly wearing service medals that belonged to family members.
A helicopter flypast kickstarted the march from Queens Wharf to the cenotaph, which delighted the crowd and ignited a huge applause.
Students from Largs, Iona, Hinton and Morpeth public schools, St Aloysius primary school and St Bede's Catholic College gave readings ahead of Williamtown RAAF Base Squadron Leader Cameron MacPherson's commemoration address.
He spoke of Cecil George Searles, who grew up in Morpeth, and enlisted in the Australian Imperial Force under the name Arthur Barrett. Before enlisting in the army he was a local baker.
"He landed in Gallipoli on the 21st of August [1915] and exactly one month later during fierce fighting against the formidable Turks, he was killed in action ... He was 18-years-old," Sqn Ldr MacPherson said.
"The Anzac spirit lives on in each of us and we should look to their legacy to guide us as we face the most strategically challenging circumstances we have seen as a nation since the end of World War II."
Sqn Ldr MacPherson said Anzac Day was "fundamental to Australia's identity as a nation".
"It is a time for us to reflect on the past generations who during the most difficult times, displayed courage, discipline, resilience, self-sacrifice, resourcefulness and determination. Their gift to the future generations was the peaceful and free world that we live in today."
Morpeth Public School assistant principal Anthony Scanlan, who filled in for the service's usual master of ceremonies, veteran Max Lantry, said Anzac Day was a chance to reflect on "all those who have served and the families and communities that have supported them".
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"It also provides our community with an opportunity to show the appreciation we have for those that currently serve in and support our armed services," he said.
Sqn Ldr MacPherson also paid tribute to the families and communities who support servicemen and women before, during and after their deployment.
"This support network does not receive parades or medals, yet their work endures far longer than any conflict and has a direct and meaningful impact on the lives of those who have served. To them we say thank you," he said.