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You'll receive this quest in
when you add Pallegina as a companion.
Pallegina will tell you that the Vailian Republics might have some work available, but that to find out you'll need to visit their embassy in the
district (#1). Inside the embassy, Pallegina will start a conversation with Vicent Agosti near the entrance. Agosti will ask her to broker an exclusive trade agreement with the anamenfath of Twin Elms. Pallegina will recognize that such an agreement would help the Republics in the short run but might hurt them in the long run, and so she'll be conflicted about it.
You'll meet Anamenfath Bethwl inside the Passage of the Six in
(#2). When you approach Bethwl, Pallegina will stop and ask you about the proposed trade agreement. You can either support her view that it will be bad for the Republics (by being benevolent or passionate), or you can support the ducs' view that it will be good for the Republics (by being diplomatic or rational).
Then when you bring up the trade agreement with Bethwl, you'll be able to do one of three things. You can shake your head, which will cause Pallegina to broker the exclusive agreement like the ducs want, or you can nod or shrug, which will cause Pallegina to broker her revised agreement. You'll earn the same xp reward for completing the quest either way, but your choice will change Pallegina's ending when you complete the game.
1 - Vailian Embassy
2 - The Passage of the Six