There are few applications in the market offering this feature, but if you want to do it for free and easily, take note of how to do it:
1) You will need a PC computer with iTunes and Microsoft Outlook. Of course, you also need your ipod and the cable connected to the PC.
2) You must install Microsoft Outlook (not Outlook Express), and set it up as the default email client. You can do it temporarily if you want, and then change it back later to your favorite email client.
This is because itunes uses Microsoft Outlook as the default application to synchronize the Notes.
Go to iTunes, select your ipod under Devices, and from the tabs on top, select Info. In the section "Other" tick the option "Sync notes with: Outlook"
Do it, sync your ipod.
3) You will find all your notes in Outlook, that is the yellow sticky notes icon under "Tasks" on the left menu. Or just use the menu: Go to -> Notes.
You can start copying and pasting the contents of your notes, but if you have many of them, it is a better idea to export them to notepad, however, there is no such functionality in Outlook :(
Don't worry, go to the next step.
4) Open outlook, Alt+F11 to open VBA editor, put the following code in the right blank area, while on the vba editor, click the save button.
On Error GoTo huboerr
myfolder = "c:\notes\" 'change this to your folder path but folder path has to end with a backlash
Set myNote = Application.GetNamespace("MAPI").GetDefaultFolder(olFolderNotes)
For ibi = 1 To myNote.Items.Count
fname = myNote.Items(ibi).Subject
myNote.Items(ibi).SaveAs myfolder & fname & ".txt", 0
Then all you need to do is to change the first line of code to the path of export folder
While in vba editor, when hit F5, all the notes in the notes folder will be exported to the folder you specified, the notes name will be the same as you have in your Outlook notes and in your ipod . You will probably have to edit the note names in Outlook before exporting them, as you may name them using some special characters (*, %, etc.) that are not accepted by Windows...
I hope it saved you some time re-typing the notes in your PC, and some bucks if you were thinking about buying an application for doing that.