So I'm currently in the middle of a 'chilled' 3rd playthrough of S3 (started a new game from my completed Platinum file, with kung-fu at max level and all move scrolls etc), and just finished Bailu - I deliberately made a point of talking to every NPC possible every time Ryo's question changed, to see if there were any notable extra conversations. And there is a surprising amount! Specifically, if you talk to
Yang Lihong at certain points in the game, he sometimes asks Ryo questions where you can choose from multiple answers (usually unrelated to whatever Ryo is currently doing in the quest, so was a bit thrown but pleasantly surprised!)
As a reminder, Lihong is the kid in the blue/white striped shirt, generally found in the Sunflower Grove (he's the kid you find in Xu's house when playing hide and seek)
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Try talking to him at these points in the game:
-When Ryo is looking for Panda Market (for a conversation about where babies come from!)
-When Ryo is on his way to meet Shenhua at the Ternary Spring (he will tell you what various women in the village have said about Ryo)
These are the conversations where Ryo can choose multiple responses (and you can keep talking to him again to try all the different responses), but you get some amusing conversations from him at other points in the game as well (for example when you ask him about the Verdant Bridge, he talks about his peeing technique from over the bridge...)
I also found a few other interesting/amusing tidbits from talking to other characters - for example there is an ongoing 'plot' of sorts with Kong Mei where she moans to Ryo about how badly her steamed buns are selling, before she'll answer any of his questions. Eventually, she tells you that they are now selling great after she lied to people that Mao Meimei from the Prize Exchange made them! Also, the abandoned temple where Sun resides was once called 'Bailu Temple', and is in its current state due to the resident monk passing away, and no one taking over.
It's also well worth talking to everyone after you've defeated Yanlang, apparently the news spreads through the village fast! Even Meiyang, who is generally unfriendly to Ryo throughout the game, shows appreciation.
I may attempt to make a YouTube video of the multiple choice Lihong conversations - unless
@BlueMue beats me to it, of course
I'm not expecting anything too exciting from talking to the Niaowu shopkeepers but will report back anything interesting!