In a fantasy kingdom, magic is tightly regulated by the Secret Magic Control Agency (S.M.C.A.). When the King is abducted by sentient food enchanted with black magic, the prime minister chooses to keep the incident quiet while the agency conducts its investigation. The S.M.C.A. assigns Gretel Irina Obrezkova to lead the case, pairing her with her disowned brother and con artist Hansel Valery Smekalov in the hope that their different skills—Gretel’s precision and Hansel’s street-smarts—will help uncover the truth and locate the monarch.
The trail points to a local pastry shop whose pantry hides a room where baked goods come to life. Gretel discovers a hidden potion room containing a beaker of enchanted vanilla extract. A frantic chase with a dog-shaped cookie ends in disaster, destroying the building and turning the siblings into children. With the S.M.C.A. unable to lend real assistance—no one believes the pair’s wild tale—they must navigate this strange new reality on their own.
Seeking guidance, they turn to Baba Yaga Yuliya Zorkina, a witch rumored to feast on children. She’s wary but offers clues that the enchanted vanilla extract originates from the swamplands. After escaping Baba Yaga’s lair, they press on toward these murky wetlands, where mermaids are said to reside.
On their journey, the Lake Witch mistakes them for Ilvira’s spies. Ilvira, the witch of the gingerbread house and the former royal chef, has her own scheme to seize the throne. The mermaids spare the siblings when Ilvira’s daughter recognizes Gretel as the one who once saved her, and they learn that some of Ilvira’s goons are being held by the mermaids. The siblings press onward to Ilvira’s lair and toward the king’s whereabouts, following a trail that reveals Ilvira’s long-planned takeover.
Ilvira’s plan is laid bare: she intends to have the king and the entire kingdom fall in love with magic, thereby crowning her queen and granting her the magical power bound to the royal title itself. She captures Gretel and Hansel, locking them in an oven as her scheme advances toward completion.
Inside their confinement, the siblings bicker—Gretel questions Hansel’s path as a con artist, while Hansel laments that Gretel’s career as an agent left little room for family. He reveals that he sacrificed an honest life to fund Gretel’s education, paying her tuition—what he told her was a king’s scholarship. The truth softens their rift, and they manage a tense escape from the oven.
Determined, they prepare an antidote and rush Ilvira’s wedding plan to halt the spell. Gretel tries to deliver the antidote to the king, but the ceremony moves forward before they can intervene. Ilvira seizes the antidote, dumps the children into the batter to bake them into cookies, and thinks her plot is sealed. A gadget Hansel had stolen from the S.M.C.A. earlier becomes their key: they escape, reclaim the antidote, and plunge Ilvira into her own cookie-batter trap.
With Ilvira defeated, the king and the kingdom are saved. The S.M.C.A. crowns Gretel as the Best Agent, and Hansel is offered a license to practice magic, which he declines because he cannot wield true magic. Reunited and resolute, Gretel and Hansel decide to continue tackling missions together, balancing duty with family and looking ahead to future adventures.