Does anyone know of a "home remedy" for bird lice in budgerigar's ie -citronella in water etc?

Answers:
Get either a perithium dust (you may need to go to a farm store for this as it's more sold for chickens), or shampoo (found at pet stores and walmart under flea and tick shampoo) and dust or bath your birds. Perithium is non-toxic to birds and kills lice. Had to give my birds a bath in shampoo and water when a new bird came with lice and I wasn't sure if she'd spread them. You need to dunk them up to their neck then use a finger to wipe some up over the top of their head. Rinse with clean water to remove most of the soap, and dry gently with a towel. Put them in a warm spot til they're dry.They'll hate you for it, but that is the one cure I know for sure works. Perithium is natural- derived from a flower. :)

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Buy one of the mite and lice traps that you hang on the side of the cage.Or take the bird to a vet.

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The bird might not like it,but give him a warm bath and wash him with Prell shampoo.