The plane was shot down on January 8, 2020, by the Islamic Revolutionary Guard Corps (a branch of the Iranian Armed Forces), killing all 176 passengers and crew on board.
About 30 demonstrators gathered with signs and called on the New Zealand Government to support a regime change in Iran.
It follows demonstrations around the world, sparked by the death in custody of 22-year-old Mahsa Amini who was detained for not wearing her hijab correctly.
Demonstrator Mitra Mohammadi said the Dunedin protest was about making sure people did not forget the tragedy, and to raise awareness of "what the Islamic regime has been doing for almost 44 years".
She said the community wanted the New Zealand Government to close the Iranian embassy and sanction those with political ties to Iran.
Ms Mohammadi held up two signs with photographs of two men who were executed by the Iranian government two days ago for protesting against the regime.
"I cry every single day. I feel like they’re my brothers."
She said more than 500 people had been killed, and over 20,000 had been jailed and were in danger of execution for going against the regime.
Ms Mohammadi said those who wanted to support the Iranian people could do so with the simplest of gestures — by speaking with people and asking them if they were all right.
"I feel like a lot of people just ignore this. It’s happening across the world and people think it’s normal for Iran, but it’s not."
She said if people felt they needed to do more, they could write to the New Zealand Government supporting the Free Iran movement.
