You'll find a number of equipment upgrades and all of the level 2 Spells in Pravoka. Gaining access to the SHIP means you can travel to ElfLand quickly to pick up even better upgrades, but there are a few pieces only available here (like the Gloves) that you'll want to pick up.
Pravoka is a beautiful city on the water, but there's an infestation of PIRATES when you arrive. The townspeople are mostly in hiding, but you can stop at the various shops or the inn. When you're ready, speak to the pirate captain Bikke in the northwest part of town. The ensuing fight is surprisingly easy considering you are outnumbered more than two-to-one. New gear is not necessary, though if you have plenty of money, you may want to pick up the DARK spell.
The 9 PIRATES are only a danger if you do not fight them intelligently. Their attacks are dangerous to lightly-armored Warriors, but any physical hit should take them out. Make sure you spread your attacks, having each Warrior target a different PIRATE. The SLEP or DARK spells can further blunt their attack.
Defeating the PIRATES earns you the SHIP and a nice haul of 360 G. The SHIP will allow you to reach a number of new locations. Before you set sail, take some time to talk to the townspeople and buy new gear and spells in Pravoka. You will learn that ElfLand is located across the sea, and that Matoya's HERB will wake their Prince.
Spell Selection
Just as in Coneria, your Bl.MAGE has an easy choice of spells because one of the four available at this level (TMPR) doesn't work. ICE is a good damage spell that deals double the damage of FIRE or LIT. You won't find many enemies vulnerable to Cold, so it is best used against those foes who aren't weak to any other element. DARK is a useful debuff that can make physically attacking monsters (i.e., almost all of them) a bit less dangerous while also reducing their Evade—an especially useful effect while sailing on the Ocean. SLOW can cripple the offense of monsters with multiple attacks, but does nothing to monsters who use special abilities or only attack once. SLOW is more accurate than DARK, but doesn't help against monsters with high Evade, so both spells have their uses.
Wh.MAGES have a trickier choice to make. Of the four available spells, only one (INVS) is immediately useful. You'll want to pick it up, because a buff to Evade can be potent, especially in boss fights. MUTE is extremely effective against spellcasters, but you won't run any that are likely to succumb to Silence in the near future. LAMP cures Darkness, a status ailment which wears off after combat anyway. ALIT is very useful against the few monsters that have Lightning attacks, but they are even further off.
These spells cost a whopping 400 G each. The good news is, with so many spells not having an immediate use, you can save some money now. Still, you will have to save up before you can fill out every slot.
If you have a RedMAGE, you will have to consider his role in the party in choosing spells, since he can learn any of the 8 found here. None of the spells are absolutely vital, but this has the effect of making your level 2 spell slots expendable, so feel free to experiment with spells that have a useful combat effect, like INVS, SLOW, and DARK.
New Equipment
Upgrading your equipment is a trickier prospect, since you will find even more options just across the sea in ElfLand. You need to decide whether to focus on offense or defense. Defense tends to be more expensive (especially for a FIGHTER), meaning an early focus on weaponry is well-advised.
Your FIGHTER's best choices are a Short Sword or a Hand Axe. The former is more accurate, while the latter deals more damage. However, if your FIGHTER is level 5 or 6, the extra Hit Rate from the Short Sword will grant him a second attack, making this by far the better choice. Hit Rate is generally the better investment for front-line warriors at all times, but in this case it's a no-brainer. If you want to save money, the Scimtar will offer an extra hit at the same level for less than half the price—but at a cost of 5–10 damage per hit. You will find a free Short Sword soon in the Marsh Cave.
If you have a THIEF, the Scimtar is a worthwhile investment. You can afford to skimp and wait to upgrade directly to a Sabre in ElfLand, though. A RedMAGE will benefit from a new Short Sword if you can afford it. Your other mages won't find any weapon upgrades in Pravoka.
Armor is another story: every class can benefit from Gloves. They offer only 1 point of Absorb at a cost of 60 G each, so it's not an urgent upgrade, but you won't find Gloves for sale elsewhere—and you won't find better hand gear for most classes until quite late in the game.
Your FIGHTER has two significant armor upgrades to buy in Pravoka. The Iron Armor is quite expensive at 800 G, but offers another 9 Absorb over the Chain Armor. There is a free suit of Iron Armor to be found in the Marsh Cave. This armor is also available for sale in ElfLand, but the Wooden Shield is not. You'll find better shields there, but at only 15 G for 2 Absorb, the Wooden Shield is still a good investment.
Finally, note that Pravoka is the last place you can buy a TENT, and the first place you can buy a CABIN. The CABIN is a double-strength TENT, but at more than triple the price. TENTS are the most cost-effective healing item while wandering the World Map, so you may want to stock up.