The invention discloses a traditional Chinese medicine feed additive as well as a preparation method and an application of the traditional Chinese medicine feed additive. The traditional Chinese medicine feed additive comprises the following traditional Chinese medicine in parts by weight: 50-80 parts of ephedra, 50-80 parts of apricot kernels, 50-80 parts of gypsum, 50-80 parts of herba euphorbiae hirtae, 60-90 parts of houttuynia cordata, 40-80 parts of houttuynia cordata, 60-70 parts of folium artemisiae argyi, 50-70 parts of liquorice and 400-600 parts of Chinese caterpillar fungus medium powder. The traditional Chinese medicine additive as well as the preparation method and application of the traditional Chinese medicine additive have the beneficial effects that firstly, the traditional Chinese medicine additive prevents the problem of waste after the use of Chinese caterpillar fungus culture medium, and the novel approach for the subsequent utilization of Chinese caterpillar fungus medium is developed; and secondly, the traditional Chinese medicine feed additive prevents the problem of standard exceeding of antibiotics in bodies of livestock, poultry and the like due to mid-and-long-time antibiotic adding.