The invention relates to the technical field of food, and discloses a spicy minced fish sauce and a preparation method thereof. The spicy minced fish sauce is prepared by Dong River freshwater fish meat, high mountain peppers, garlic, gingers, onions, monosodium glutamate, chicken powder, colza oil, sesames, salt, ground pepper, white sugar, dry chilli powder and deodorization pickling salt. A plurality of food raw materials are selected and reasonably mixed to prepare novel spicy minced fish sauce of Dong River freshwater fish; and the sauce has authentic color, aroma, taste and alcohol flavor; the product has the advantages of clear oil color, red color, mellow natural fragrance, salty and fresh flavor, obvious spicy taste and excellent oil layering; the flavor of the product is remarkably better than that of like products; and the product is well received by consumers.