In a medium saucepan over medium heat, add sugar and 3 tbsp water. Bring to a simmer over medium heat, stirring every often until sugar is dissolved, approximately about 5 minutes. Increase heat to medium-high and cook until deeply golden, without stirring, 4 to 5 more minutes.
Once caramel is a deep copper color, pour condensed milk and immediately stir, Mixture will bubble up so be careful! Turn off the flame.
Pour milk into a saucepan, add milk powder and mix well. Bring it to boil
Mean time, melt the china grass in 1/4 cup water and pour it into the boiling milk.
Pour that boiled milk into the previously prepared toffee mixture. Turn the heat on. Stir it continuously till the toffee is completely melted. When the mixture starts to thicken, turn off the flame. Pour it into a pudding tray and refrigerate for 4-5 hours.
Garnish Tofee Pudding with crushed chocolate biscuits and serve.