Sid, to remove those hard encrustations we use a scraper & a hard pointed tool, I use a saddler's awl for the pointy thing, and for the scraper I use an old worn out three sided file that I have ground a radius onto.
You scrape and pick at the rust & then re-immerse in the cleaning medium. For spots such as you have, I would use hydrochloride acid dabbed onto the scraped spot and watched while it was working, & then repeat as many times as needed. Then I'd finish the cleaning with brief soak in vinegar, say, about a day.
After that, polish with sink cleaner & steel wool, in Jawa we use coconut husk & abu gosok.
After you get the blade white you can stain, not before.
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