A 'very useful' meeting is reported to have been held between the town council and Shropshire Council at the Guildhall.
"It was a very useful meeting," says a report from town clerk Gina Wilding to Monday's meeting of the full Ludlow Town Council.
"However, Shropshire Council are concerned about a wider remit than just the market parking issues."
Monday's meeting heard that Shropshire Council thinks a parking order could be extended to include Harp Lane and Church Street, and that a loading ban could be considered by the town council.
Town councillors decided to ask Shropshire Council to impose a parking order without waiting restrictions after a period when they tried persuading drivers from parking and blocking market traders.
Once the parking order is brought into force the town council intends to monitor it closely.
If it is found to not be working the council may consider the use of bollards to prevent nuisance parking.
Market traders will be encouraged to load and unload and then move their vehicles from Market Square. There is a car park in Castle Street that motorists will be encouraged to use instead.
"The car park in Castle Street is free, there is no need to use Market Square," a spokesman said.
The town council has to approach Shropshire Council as it is the parking authority with powers to enforce.
The order would be the same as those being enforced on Events Square, Post Office Square and Market Square.
It is judged to be the least invasive option and would not revolve costly installation of infrastructure on Market Square.
Under a parking order, market traders could unload, but not leave their vehicles unattended and would need to remove their vehicles immediately that they had completed unloading/loading. Trailers without a car cannot be issued a ticket under a parking order.