Despite the cooler-than-usual conditions, local crib owners and visitors to the remote Catlins holiday destination turned out in force to enjoy traditional fair games such as the sack race, Jaffa smashing and the chocolate wheel.
Long-standing organiser Wayne Allen was back for carnival centrepiece the Big Dig, after an absence last year due to a family illness, and said the outing made it more than 30 years at the helm for him.
Mr Allen traditionally uses a "magic stick" to help identify buried prize canisters for youngsters struggling to strike gold.
"Christmas is all about giving, so it’s been pleasing to see some sharing going on. One young fellow found four prizes, and he’s been sharing with one or two of the little ones here today, and that’s great to see."
He said the carnival was a combined community effort.
"I couldn’t run the Big Dig without the help of locals in setting up on the beach and in the prize tent, and the same applies to the carnival, which is a great community effort and tradition extending back for years now.
He said threatened rain earlier in the day had failed to emerge.
"The sun might not quite be shining at the moment, but you can see by the smiles that everyone is really enjoying themselves.
"We’ll be back digging in the sand again next Christmas."
