Increasing salinity in the sugarcane growing soils of Maharashtra is one of the major factors in reduction of sugarcane yield. This research project was designed to study the effect of levels of potassium Viz. 175, 200 and 225 kg K2O/ha and sources like MOP (KCl) and SOP (K2SO4) on sugarcane var. Co-86032 in alkaline soil conditions. Important findings coming out of this two year experimentation showed that maximum cane and sugar yield was associated with the application of 225 Kg K2O/ha through SOP fertilizer followed by 225 Kg K2O/ha through MOP fertilizer. Germination, tiller ratio and other growth parameters except girth and plant population of cane were not affected by the levels and sources of K fertilizers. The K+ ion contents both in soil and plant showed significant increased values. The SOP treated samples showed significantly higher sulphite content in juice and leaf sulphur uptake.