A freight forum is likely to be held in Fife within weeks in a bid to further the case for reinstating the Levenmouth rail link.
As transport officials continue to work with Fife Council to develop a robust business case for the project, a local councillor said establishing a demand for freight trains was key to its success.
Colin Davidson, who represents Leven, Kennoway and Largo, is vice chair of Sestran, a partnership encompassing eight local authorities in the south east of Scotland, and chairs its rail and freight section.
He wants to bring together freight companies, Levenmouth businesses and local politicians at the beginning of March to discuss the issue.
The Labour councillor said he had held talks with officers from Transport Scotland to push the case for rail freight for Levenmouth in the first instance.
“I’m led to believe there could be government funding available if we can make a commercial case and I’m getting lots of encouragement to explore the option from Transport Scotland,” he said.
“I’m trying to organise a rail freight forum for Fife in March, involving all the rail freight companies, to make it happen.”
Mr Davidson said he also hoped to arrange a public meeting later in the year to thrash out the options and opportunities a rail link could bring.
Although the branch line between Leven and Thornton closed to passengers in the 1960s, it remained open to freight until 2001 and a number of local companies are said to be open to looking at the option of moving goods by rail rather than road.
During a Scottish Parliament debate spearheaded by Levenmouth MSP Jenny Gilruth in September, Transport Minister Humza Yousaf said he would instruct Transport Scotland to take on responsibility for developing a business case for the rail link, working in close collaboration with the council.
That process is continuing and a Scottish Government spokesperson said: “Transport investment decisions have to be supported by robust evidence.
“The transport appraisal work will determine if there is a rationale for progressing the Levenmouth rail link, which will be one of the options considered in the Levenmouth Sustainable Transport Study.
“Any new projects will of course be subject to available funding.”
The spokesperson warned that the most recent funding offer fell short of the total identified by the industry to cover a full programme of investment to improve Scotland’s rail network.
