Meanings
Calque of Spanish de todos ha de haber en el mundo (“There must be of all [types] in the world”), Miguel de Cervantes, El ingenioso caballero Don Quijote de la Mancha, Capítulo VI, 1615 (Don Quixote, Volume 2, Chapter VI); translated 1620, Shelton, as "In the world there must surely be of all sorts." and appeared in various forms thereafter.
How to pronounce "it takes all kinds to make a world":
AU
Diversity is essential: the world would be incomplete if everyone were alike; an expression of surprise at a person or people's eccentricity.