Follow the path south, grabbing the sparkling points in hopes of the rare Magic Carta No. 6 , and then continue west until you get a scene. After the scene ends, head southwest a short way to get the Potatoes discovery, gain Potato x3 , and watch the Settling for Number Two and Risk Management skits.
Grab the chest with 1920 Gald to the south of the Potatoes and then follow the path to a split. Instead of branching north, head down the southwest path for a Moist Crystal and then continue to reach the group of people. If you backtrack east, instead of heading toward Gralesyde, you should see a chest on the northern cliff that contains Peach Gel x2 . You can now continue toward town to continue the story.