Ashina: The Red Witch

Once you begin the Escape Tunnel chapter, you'll go through some cut scenes and eventually gain control of Ash. You can go to the top of the screen and talk to the spirit on the left side of the room for the "A new friend." achievement, and then you can walk all the way to the bottom of the screen to interact with the door to advance the story.

Many cutscenes later you'll arrive at your destination. Walk all the way up the screen until the game takes control away from you and moves you to the pub. Go inside for another cutscene and then go up the stairs and examine the bookshelf at the top the the screen to get the chocolate.

Now exit the pub and cross the bridge to your immediate left. Go inside the second house (it has a Hoki in front of it watch television) and give the chocolate to the Hoki directly ahead of you for the next part of your quest as well as the achievement.