On Monster Hunter Freedom Unite can you trade items with other players

yes of course.
You can also Duplicate items with it.
Ask your friend to join you in the same gathering hall, give him some of your potions and item. then exit the hall and go home. go to your bed and exit the game without saving, then load your character and you'll be surprised to have your pots still at your character. so duplicate all you want cos the MH Creators allows this...but
don't get your hopes so high cos there is a big wall in it.
there is a Rarity Restriction where in only Rarity 3 and below items could be passed to other players. hahaha. only potions, flashbomb and the likes and also abundant items and carves from monster can be transfered.
Don't be so discouraged though. almost all the needed pots and drinkies are duplicatable.