The 23-year-old was named 12th man for Saturday's warm-up match against Australia A in Hobart ahead of the touring side's opening game of the series against Australia in Melbourne on January 14.
"Ryan Hinds sustained a groin-related injury in the first warm-up game against Victoria on January 5 at the Melbourne Cricket Ground and will be unable to take any further part in the series," West Indies media officer Imran Khan said.
"The possibility of having Hinds' injury treated in Australia is being explored. As a result he will remain with the squad for the next few days."
Barbadian Hinds has seven test and 14 limited-overs international caps, including the final of the ICC Champions Trophy on September 25 when West Indies beat England by two wickets at The Oval in London.
In a further statement released from Antigua, the West Indies Cricket Board said: "Ricardo Powell will leave the region this weekend as the replacement for Hinds."
The 26-year-old Jamaican has scored 2,024 runs at an average of 26.28 in 102 one-day internationals.