Dick Smith is furious that a television advertisement he filmed for Australia Day, which is saturated with "Dick" jokes and innuendo, has been deemed too offensive to air during prime time television.

The entrepreneur said he was considering taking legal action after his one-minute advertisement, which is styled on Sam Kekovich's lamb ads and promotes Mr Smith's range of Australian-made food products, was given a PG classification and is therefore unsuitable to screen during 6pm news bulletins on Australia Day.

The tongue-in-cheek advertisement, created by Hungry Beast and Can of Worms comedian Dan Ilic, opens with Mr Smith declaring that Kekovich's use of jingoistic patriotism to sell his products was as "wrong as a dead dingo's donger".

But, with Waltzing Matilda playing in the background, Mr Smith then goes on to do exactly that, throwing in his fair share of "Dick" jokes along the way.