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French President Francois Mitterrand concluded talks Thursday with Prime...

By MIHIR MUKHERJEE

CALCUTTA, India -- French President Francois Mitterrand concluded talks Thursday with Prime Minister Rajiv Gandhi and visited the impoverished metropolis of Calcutta.

Mitterrand and his wife, Danielle, on the second day of their four-day tour of India, flew to the city of more than 9 million where Mother Teresa's work with the sick and the starving earned her the 1979 Nobel Peace Prize.

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The French couple were taken from Calcutta's Dum Dum airport by helicopter to La Martiniere School, an exclusive private secondary school founded 152 years ago by a French soldier of fortune.

Mitterrand then presented France's highest civilian award, the Legion of Honor, to prize-winning Bengali film director Satyajit Ray during a ceremony on the steps of the National Library.

'France pays tribute to a great film director and a friend. She wants to show her gratitude to a great creator who continues to bear witnesses to the plight of all humanity,' Mitterrand said as he hung the medal around Ray's neck.

Ray, 68, has won numerous national and international awards for the 26 feature films he has directed since 1955, many of them depicting the crushing poverty endured by most of India's 800 million people.

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Ironically, in India his works are popular only in West Bengal state, of which Calcutta is the capital, while they have received major acclaim in the West.

Before leaving New Delhi earlier in the day, Mitterrand met Gandhi at the prime minister's heavily guarded residence for a second round of talks that went beyond the scheduled 50 minutes.

At a departure ceremony at the presidential palace after the meeting, Mitterrand said he and the Indian leader reviewed regional and international developments.

'Cambodia in particular was discussed,' Mitterrand said. He declined to elaborate.

India and France have been involved in efforts to mediate the makeup of a government in Phnom Penh after a pullout by Vietnamese forces that invaded Cambodia in 1978, toppling the brutal communist Khmer Rouge regime of Pol Pot.

Mitterrand held a first round of talks with Gandhi after his arrival Wednesday on Indo-French relations, which have cooled in recent years by friction over trade issues. He said they have gone a long way toward smoothing the differences.

'We had in-depth discussions with Gandhi and have made considerable progress,' Mitterrand said.

It is Mitterrand's second visit to India since 1982. That trip ignited high expectations in both nations of massive economic and political cooperation.

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Anxious to improve relations, Mitterrand brought with him a large package of economic and technical programs aimed at boosting Indian exports to France and other European Economic Community countries.

Shortly after Mitterrand's arrival, officials signed an accord under which France will provide funding and technology for a $66 million vaccine production plant.

The two sides also are discussing French offers to sell India two nuclear power plants and expand cooperation in food processing, computer technology, mining, electronics and telecommunications.

Mitterrand is to fly Friday to Bombay, India's commercial capital, to inaugurate the festival of French arts and culture and continue his talks there with Gandhi.

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