I have the forest gem but the guards in matsuki village are still blocking the way. the official guide says they should move out the way after receiving the forest gem. I didn't exit with escape rope.

You need to aquire the gem from the mountain and the underwater area first as well, so you seem to have skipped over major parts of the quest. If you finished all 3 areas already make sure to double-check if you talked to the Golem after the Charizard boss in the mountain maze area and double-check if you interacted with the rock, back in the room at the underwater area.