In the seventh lunar month of the Chinese calendar, DouDou pays a visit to his grandmother who practices Taoist rituals to communicate with the departed and phantoms, during the ghost month. It is the time when the host gate opens on July 1st. During this visit, DouDou mistakenly unleashes a demon from an urn, which takes possession of a sleepy cat and tricks DouDou into seeing invisible companions by using his grandmother's tears. Little does DouDou know that the demon's intention is to prey on all the ghosts. Inspired by Taiwan's cultural heritage, "Grandma And Her Ghosts" infuses the poetic style and sensitivity of Hayao Miyazaki's "My Neighbour Totoro."