Kalm is a sleepy little town located just to the northeast of Midgar. It is the first town that you visit once you leave the large capital town of Midgar and it is not too far away from the huge sprawling city.
The story leads you to Kalm once you have ventured through all of the floors of the Shinra Building and made your escape from the Shinra company. Barret and the rest of the team will discuss amongst themselves where they should head next and will eventually settle on the town of Kalm. Check out the Kalm walkthrough page for additional details.
There are numerous items that you can pickup while you are in Kalm which include:
Megalixir
Ether
Guard Source
Peacemaker
Additionally there are a number of shops that you can purchase items from:
Kalm is also where you will find the Kalm Traveller whom you will need to speak to in order to complete some of the most difficult side quests in the game. Check out the Kalm Traveller section by clicking on the link below:
The map below shows the location for Kalm on the World Map: