Try leaving the village and returning into it.  Talk to the Elder again... Talk to the Moomba outside his house, then follow the Moomba to the workshop.  Visit the elder again, then go back to the workshop.  Talk to the Elder's attendant, then go to the house next to the workshop and talk to the artisan and help him.

Return to the Fisherman's Horizon and talk to the owner of the repair shop.  Return to Shumi Village and talk to the Elder, then the Artisan.  He will now help.  Talk to the Elder again to get a Status Guard item.  Hope this helps.