I have a solution to it by making our own custom toast component. It is very basic but it solved the problem for me.
HTML
<template>
    <div class="slds-notify_container slds-is-relative">
        <div class={topClass} role="status">
          <span class="slds-assistive-text">{notificationType}</span>
          <lightning-button-icon icon-name={iconName} size="large" variant="bare" alternative-text={notificationType} title={notificationType}></lightning-button-icon>
          <div class="slds-notify__content" style="padding-left: 10px;">
            <template for:each={messageList} for:item="item" for:index="index" >
                <li class="slds-text-heading_small" key={item.keyIndex}>{item}</li>
            </template>
          </div>
          <div class="slds-notify__close">
            <lightning-button-icon icon-name="utility:close" size="large" variant="bare" alternative-text="Close" title="Close" onclick={closeWarningComp}></lightning-button-icon>
          </div>
        </div>
      </div>
</template>

JS

import { LightningElement,api } from 'lwc';

export default class CustomToast extends LightningElement {
    @api messageList = [];
    @api timeOut = 4000; //default close after 3 secs
    @api type = 'dismissible'; //default dismissible
    @api notificationType = 'info';
    @api topClass = 'slds-notify slds-notify_toast slds-theme_info';
    connectedCallback() {   
        if(this.notificationType == 'warning') {
            this.topClass = 'slds-notify slds-notify_toast slds-theme_warning';
            this.iconName = 'utility:warning';
        }
        else if(this.notificationType == 'success') {
            this.topClass = 'slds-notify slds-notify_toast slds-theme_success';
            this.iconName = 'utility:success';
        }
        else if(this.notificationType == 'error') {
            this.topClass = 'slds-notify slds-notify_toast slds-theme_error';
            this.iconName = 'utility:error';
        }
        else {
            this.topClass = 'slds-notify slds-notify_toast slds-theme_info';
            this.iconName = 'utility:info';
        }
        if(this.type == 'dismissible') {
            setTimeout(() => {
                const selectedEvent = new CustomEvent("closewarningtoast");
                this.dispatchEvent(selectedEvent);
            }, this.timeOut);
        }
    }  
    closeWarningComp() {
        const selectedEvent = new CustomEvent("closewarningtoast");
        this.dispatchEvent(selectedEvent);
    }
}

in caller HTML
<template if:true={showWarning}>
        <c-custom-toast
        message-list={warningMessages}
        onclosewarningtoast={closeWarningToast}
        type="dismissible"
        notification-type="warning"
        time-out="4000"
        ></c-custom-toast>
    </template>
    JS
    showWarning() {
        this.warningMessages = [];
        this.warningMessages.push('abc');
        this.warningMessages.push('xyz');
        this.showWarning = true;
    }
    closeWarningToast() {
        this.showWarning = false;
        this.warningMessages = [];
    }