Well, let me tell you what I did.
I was still afraid to go to the darkforest and couldnt earn xp points to gain a alevel, so I was just randomly killing poor villagers without being caught by the guards.
I also killed Hugh *oops*
What happened was I solved the Elrath quest without any problem, and didnt complete the grain quest.
I was still able to finish the game- and enjoyed it very much.
Dont get discouraged on one pitiful quest, keep on solving the other ones.