In this rapidly developing business environment, there will be the need for the major freight movement right into a center of region, where product is dispersed quickly. In this case railway transportation will become the most cost effective mode for moving large volumes of product over long distances. These products then are resized into smaller volume and deliveried by designated quantities to the customer requirements by road. It is vital that the right balance of speed, service and costs is achieved in order that the supply chain provides a competitive advantage interms of both service and cost. These factors, together with legistration and technological developments, will ensure that railway logistics solution will increase in popularity