After exploring the forest, you crossed the river and are close to an orchard that contains the hermit's Sun Fruit. For those of you who have not figured out this episode on your own, the solution is presented in the next section though as always I do urge you to try and figure out the solution yourself. In this section we will take a look at our surroundings.
As you can see from the map, the episode is broken into four separate areas which in adventure game tradition we will refer to as rooms. The start room leads to the other three rooms. On the ground in this starting room is a rock. Obviously, you can pick up the rock.
West of the starting room is a room with a big rock in it. This rock is obviously way too big to pick up. On the ground in this room is a stick that can be picked up. It is possible to interact with the big rock. You can try using the stick or the rock on the big rock if you wish. As is often the case in adventure games, when you can interact with an object in the game then that object serves some purpose. Sometimes the object is a red herring (something put into a game just to confuse the player). Other times it is part of an easter egg or inside joke. Most often it is part of the solution to a puzzle in the game.
East of the starting room is a funny looking walnut tree. You can tell that it is a walnut tree by the cluster of walnuts hanging from the topmost branches of the tree. Why would there be so few walnuts on the tree? One would have to assume that someone or something on the island likes walnuts even though they are such a pain to deal with. Could this be the sun fruit that the hermit was talking about? No, as nuts and fruits are different things.
North of the starting location is an orchard of oranges. It appears that this quest will be easier than you thought. Or not! That squirrel must be the beast that the hermit was talking about. It certainly does not like your presence in the orchard.