The invention discloses sulphur-based gamma-biological compound fertilizer and a preparation method thereof. The sulphur-based gamma-biological compound fertilizer comprises gamma-poly(glutamic acid), wheat straw extract, microbial agents and secondary elements, namely, nitrogen elements, phosphorus elements and potassium elements. The gamma-poly(glutamic acid) and the microbial agents are prepared through the fermentation process. The wheat straw extract is obtained by extracting and processing young wheat straw seedlings. The secondary elements are obtained through related compound powder. The sulphur-based gamma-biological compound fertilizer comprises 0.1-5.0 parts of gamma-poly(glutamic acid), 3-12 parts of wheat straw extract, 2-6 parts of microbial agents, 20-30 parts of urea, 55-85 parts of monoammonium phosphate and 30-50 parts of potassium sulfate, wherein microelements include calcium, magnesium, sulphur, manganese, zinc, boron and molybdenum. By means of the sulphur-based gamma-biological compound fertilizer, the nitrogen nutrition utilization rate can be increased, and by means of the supplementary effect of synergistic interaction of the gamma-poly(glutamic acid) and the wheat straw extract, the soil microenvironment is improved, the nutrient absorption is promoted, the crop yield is increased, and the disease-resistant, stress-resistant, anti-interference and successive crop prevention capacity of plants is improved.