Protesters gathered at the Otago Museum Reserve and marched along George St to the Octagon on Saturday afternoon.
Rallies have occurred on a weekly basis since mid-October and Saturday’s appeared to be the largest of them.
Rally organiser Oscar Bartle called for a combination of justice and peace, arguing for an end to Israel’s occupation of Palestinian territories, as well as advocating for a lasting ceasefire.
"We need to keep the pressure on," he said.
It was not an anti-Jewish rally, he said.
The rally came amid a four-day truce between Hamas and Israel, which has allowed aid into Gaza while a deal is under way to free 50 hostages taken by Hamas in exchange for about 150 Palestinians in Israeli prisons.
However, Israeli Prime Minister Benjamin Netanyahu has vowed to continue the war after the truce until Hamas is eliminated.
The latest conflict started on October 7, when Hamas launched attacks into southern Israel, killing about 1200 people, mostly civilians, and taking about 240 people hostage.
This led to Israeli air and ground assaults in Gaza.
Gaza’s health ministry said on Friday at least 13,300 Palestinians had been killed and 6000 were missing, feared buried under rubble.
Dunedin Palestinian community spokeswoman Rinad Tamimi reeled off statistics at the rally that illustrated extraordinary devastation.
She had the death toll exceeded 20,000 people, and described massive damage to housing, hospitals, schools, mosques and government offices.
Mrs Tamimi, who is from Hebron in the West Bank, told the Otago Daily Times the rallies had shown there was a lot of solidarity for Palestine.
"We want an end to the Israeli occupation of Gaza and the West Bank," she said.
Mrs Tamimi said a candlelight vigil would be held on Wednesday in the Octagon and there could be educational nights next month.
"It’s a good time for people to learn about Palestine," she said.
The Ministry of Foreign Affairs and Trade said on its website New Zealand supported the right of Israel to defend itself against terrorist attacks by Hamas.
"But military objectives cannot be used to justify ‘any and all’ actions in this conflict.
"Israel must abide by international law, exercise restraint, and prioritise the protection of civilians."
