Eastern tried to regain territory by kicking deep which gave opportunities for Te Rarawa fullback Shelford Murray, and his wingers Mana Taylor and Roihoi Manuel to counter attack effectively.
Further tries in the first half to John Bell, No 8 Peter Smith, and Mana Taylor had Te Rarawa in a strong position, 22-7 ahead into the second half.
Te Rarawa scored through prop Keegan Murray and second-five Rueben Adams to guarantee a victory, with Shelford Murray converting three of the touchdowns.
Eastern/Kaeo never gave up and scored two late tries to make the final score 36-21.
Standout players for Eastern were brothers Cody and Charlie Bruce-Kemp, the former with his hard-hitting tackles and the latter with his elusive running.
Try scorers for Eastern/Kaeo were blindside flanker Campbell Mathews, who got two, halfback Joffy Stewart. First-five Raymond Morunga slotted all the conversions.
Te Rarawa coach Richard Murray said winning the championship made all the effort and sacrifices from everyone involved in a club worthwhile.
"Most of this year's team experienced defeat in the final last year against deserving winners Kawakawa, so to be on the other side of the coin is wonderful.
"We have some exceptionally talented boys in this team that do make a difference with their abilities when playing and the most humbling thing for me is to have them acknowledge that without everyone else they would not be able to realise that talent."
North Zone reps
The following boys were selected to represent North Zone under-16s in the upcoming 2012 Blues Age Group Tournament running next month. Sonny Rupapera, Raniera Campbell, Peter Smith, Mana Taylor, Tama Korewha, John Bell, Rueben Adams, Shelford Murray (all Te Rarawa), Blair Guy, Jayden Herbert, Cody Bruce-Kemp, Raymond Morunga, Cambell Mathews, Chaz Wetere, Nopera Mathews, Anton Osborne, Joffy Stewart (Eastern Kaeo), Paroa Hou Pere, Jevon Halvorson, Kodi Hapi, Jessie Rihari, Levi Clark (Kerikeri), Raynor Johnson, Hamish Pomare (90 Milers), Jessie Chapman (Kawakawa); coaches Richard Murray (Te Rarawa) and John Guy (Eastern Kaeo).