Potassium oxalate monohydrate is used as a chelating agent; a purifying agent in pharmaceutical industry and a precipitating agent in rare-earth metal processing. It finds application as a grinding agent, a rust remover for metal treatment, a bleaching agent in textile and wood industry. It is also used in waste water treatment and as a scale remover in automobile radiators. Furthermore, it is used as a reagent in analytical chemistry for the determination of calcium and other heavy metals as well as a reducing agent in photography. It is also involved in the preparation of SBA-15 (nanostructured SiO₂) supported vanadium oxide catalyst.

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