During the long process of planning their lines, the promoters came to see that extension of their railways would be beneficial, and lucrative, and already in 1845 there was talk of extending through Callander to Dalwhinnie.

In the same year the Stirling, Callander and Tillicoultry Railway published a prospectus, with glowing and exaggerated descriptions of the towns this ambitious east–west line would serve, but it came to nothing.

The topography was well suited for that: the Royal Burgh of Dunblane lay ten miles (16 km) to the east along the valley of the River Teith.

This scheme obtained its Act of Parliament on 16 July 1846, with authorised capital of £80,000, and power to lease the line to the Scottish Central.

The Scottish Central was anxious to encourage a line that might be a launching pad for entry to the highland areas as yet unserved by railway connection, and it subscribed £13,400.

The Callander terminus of the DD&CR was at the eastern edge of the town, immediately to the north of Stirling Road, near the present-day Murdiston Avenue.

[6] However substantial goods and perishables carryings took place, and a passing loop was constructed at Drumvaich, halfway between Doune and Callander.

During the 1960s a report was produced on rationalisation of loss-making railways; this led to the so-called Beeching cuts, and this part of the line was closed on 1 November 1965.