The moulds used for casting are either of clay or of Plaster of Paris and are crafted by the artisans themselves. The making of a mould is an expensive and time-consuming process requiring detailed and painstaking work. These toys are in miniature form and getting the right expression, the correct stance and individual detailing requires careful attention and immense skill.

Once the mould is ready, a small piece of clay - about one inch in diameter and two inches in length - is rolled and placed between two halves of the mould. This is firmly pressed and a figure is formed. The figure is only of the upper part of the body. The arms are attached separately by simply wetting the clay and fusing them to the main body. The legs are made in the same way but have a wire running through the centre. One end of this wire helps to fix the legs to the body and the other end fits into a stand on which the figure rests. A knife is used to give the final touches to the body and to the costume. The toys are then left to dry in the sun for two days.

For more details:
http://dsource.in/resource/miniature-clay-toys-lucknow