HORSHAM Rural City Council will meet Melbourne-based container logistics company Qube to discuss operations at the Horsham rail freight terminal.
Qube has confirmed it intends to operate from the Horsham terminal.
The meeting comes after Horsham residents voiced their concern at the prospect of rail freight returning to the city when crews started work at the site.
Workers from rail contractors McLeod Rail have been working on the rail track this week in readiness for Qube to move in.
Horsham Rural City Mayor David Grimble said company representatives and council would meet mid next week to find out what the company intended to do.
"They have a commitment to provide a rail service under contract," he said.
"We need to find out why they can't provide that service under contract at the Wimmera Intermodal Freight Terminal at Dooen.
"We also want to reassure people that we don't want a freight handling facility in the city it is not part of our long-term vision for Horsham.
"We understand the angst from the community. Council is united and we will exercise our political influence.
"This came as a surprise to us as well."
A spokesman for Qube said the arrangement in Horsham was temporary.
He said the company had been trying to gain access to the new terminal at Dooen, which officially opened in September.
"It is not our intention to remain at the Horsham terminal indefinitely but we cannot use Dooen until an agreement is reached with Wimmera Container Line," he said.
Wimmera Container Line operates the Dooen terminal.
The spokesman said Qube made alternative arrangements to access the Horsham terminal so that its customers were protected and to ensure freight remained on rail.
"Qube is continuing its discussions with Wimmera Container Line on a potential access agreement to the Dooen terminal, but is unable to say when that agreement will be reached," he said.
"However the community can be assured that we are working in good faith to enable us to commence operations at Dooen as soon as commercially possible."