From the Super Mario Wiki, the Mario encyclopedia
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A shrinkbarrel is a type of device in the game Wario Land: Shake It!. They are somewhat rare, only appearing in two levels: Bad Manor and Boogie Mansion. Each shrinkbarrel resembles a brown barrel with two yellow arrows and two openings, one big and the other small. When Wario enters the large opening, he comes out of the other opening as Mini Wario. Mini Wario can fit through small passages and find hidden treasures. When Mini Wario enters the smaller opening of the shrinkbarrel, he turns back to normal. However, the shrinkbarrel has no effect on Wario if he enters the large opening in his Mini form.