Christmas Cakes chairman Brian Williams, of Kingsley, said the campaign originated in Goulburn, NSW, in 1965 where cakes were home baked.
"The program quickly grew, with Big Sister contracted to produce a cake weighing three pounds," he said.
"The project immediately proved successful and sales have been constant over the past two decades.
Get in front of tomorrow's news for FREE
Journalism for the curious Australian across politics, business, culture and opinion.
READ NOW"In 1975, the cake became metric and converted to 1.5kg and reduced in packaging from 12 to 10 per carton."
Mr Williams said other companies, including Gartrell White, Arnotts and Sarah Lee, had turns baking the cakes, but since 1983 Top Taste " the baking division of George Weston Foods " had been making them.
He said Lions introduced a 1kg cake in 1998, then added the 900g traditional pudding to the range in 2010.
Mr Williams said nationally annual sales were about $6.5 million, with $2 million of the funds raised going to help sight, health, welfare and humanitarian projects.
"It is estimated that since the inception of the program as a national project, funds raised have exceeded $50 million," he said.
"This is an outstanding result and reflects the enthusiasm of the clubs participating in the program."