In order to achieve effective detection target covered by camouflage nets, and to improve recognition ability to camouflage target, a target recognition system was designed based on the electro-optical and magneto-optical dual modulation. The system was composed of polarizer, electro-optical modulation module, magneto-optical modulation module, analyzer, photoelectric detectors and other components. It produced the modulation function combination of electro-optical modulation and magneto-optical modulation, and the composite modulation function was derived. On the basis of vector analysis, the impact of the function of the intensity of echo light was analyzed with the modulation parameters for electro-optical and magneto-optical. In the experiment, a square steel side length of 1m was used as the test target, and two kinds of commonly camouflage nets were used for target detection in different background environments. Under different polarization angles conditions, the response voltage of echo light was tested and analyzed. Experimental results show that there are obvious response peak for the target and camouflage nets, however, because of the different position and angle of the target, the peak position is different. At the same time, the intensity of echo light from the background can not generate a strong response voltage. Therefore, the extreme signal of response voltage can be obtained to identify a camouflaged target in the entire magneto-optical modulation cycle. As for wavelength variable experiments, it had a certain influence for echo peak and background noise caused by the changes of the light source wavelengths. Therefor, it can be adjusted by the source wavelength increasing the SNR of target image. In short, the system has a good recognition ability for camouflage target.