The Elm-Chanted Forest
Yugoslavia, 1986. A painter falls asleep beneath a magical elm tree and awakens with magical powers that allow him to communicate with the creatures of the forest. In the limited time that he possesses these powers, he must help save the forest from the threat of the evil Cactus King. Also, a racist mushroom scene.
TB Tabby commented
Seriously, guys, check this movie out. The trippy musical numbers that come out of nowhere, corny dialogue and bizarre character designs are perfect riff fodder.
Oh my gosh, I loved this movie as a kid! This was one of MANY vague animated films I grew up watching and why I have a deep love of fantasy/fairy tales stories nowadays.