The blaze erupted in the city of Rajkot, Gujarat state.
Police Commissioner Raju Bhargava stated that the fire was under control and a rescue operation was ongoing, according to the Associated Press.
Police officer Vinayak Patel mentioned that identifying the bodies was proving difficult.
Authorities have detained the owner and the manager of the amusement park for questioning as an investigation into the cause of the fire has been launched.
“So far we have confirmed the death of 27 persons in the fire incident,” the Press Trust of India quoted Patel, adding that the deceased included four children under the age of 12.
The park, usually crowded with families enjoying the weekend school summer vacation, was privately owned by Yuvraj Singh Solanki.
Footage revealed firefighters clearing debris around collapsed tin roof structures, which media reports indicated were used for bowling, go-carting, and trampoline attractions.
Bhargava stated that police would file a case of negligence against Solanki.
“We will be registering an offense for negligence and the deaths which have occurred. Further investigation will take place once we complete the rescue operation,” he said.
Prime Minister Narendra Modi expressed his sorrow on X, saying he was “extremely distressed by the fire ... in Rajkot. My thoughts are with all those who have lost their loved ones. Prayers for the injured.”
Fires are common in India, where building laws and safety codes are often ignored by builders and residents.