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The game only received that much attention because of the JRPG drought that we had during last gen. The game itself was more than average. Very beautiful graphically but very forgettable in terms of gameplay or even storyline. I doubt there will ever be a sequel.

For the release of the DS version, Level 5 sent 600,000 copies to stores for the japanese launch and the game failed to sell all those copies. Even today, the game still hasn't sold those 600,000 copies (it's at .54 million right now). Wonder where all those leftover copies are now.
http://www.siliconera.com/2010/12/08/level-5-ship-600000-copies-of-ni-no-kuni/

Needless to say, the game failed to live up to Level 5's expectations. Their objectives were much more modest for the PS3 version.

Level 5 is the studio that aims for excellence but can only acheive averageness. They simply lack the talent to make anything that will mark gaming history.