Games : Shining Force 2: Where am I? What next?

I just loaded up a Shining Force 2 savegame from YEARS ago. The problem is, I have no idea where I am, what I'm supposed to be doing, etc.

Can anybody look at this screenshot (okay, picture of my TV) and tell me what I should do next?

I've tried placing myself in the walkthrough here, but shockingly enough there isn't a "when you have a Gandalf, a Fairy, a Bird, and some kind of monster snail with you next to some trees, then go to xyz town".

So can anybody tell me what's going on or where I should go next? I know I'm passed the chess battle, but that's about all I remember.

Edit: Oh, and I'm near a town that almost blends in with the surrounding trees. I think I might have gone there to fight that secret infinite battle? But now I forget where I was actually supposed to be going!