Importing mpg files to iMovie

Got a camcorder but can't download or import the video to iMovie! Is this because it is a mpg file? How do I download from the DVD camcorder (? Easy solution must be available without having to buy expensive "extra" equipment or software. If there is some way you can insert 80mm discs into a Mac - let me know as this would be an easy solution but the file format form the DVD camcorder is set when connected via USB.

At a loss at this stage - any suggestions? It may be something really simple that is not explained well in the manual or there may be a simple work-around?
Only the "Import from Camera" option applies an automatic conversion to HDV, AVCHD, or MPEG-2 to camcorder media. So if the files are stored on your hard drive, you should be able to convert them manually to an iMovie '08 compatible compression format. Applications like MPEG Streamclip (free but requires the $20 QT MPEG-2 Playback component), iSquint (free), FFmpegX (donation-ware), Visual Hub (pay-ware), etc. should work. I personally prefer MPEG Streamclip since it provide the most export options and built-in features, but this is a matter for each user to decide for himself or herself and frequently depends more on the user's choice of work flow than anything else. As a test, I would recommend you run a test file or two through iSquint. The download is free and, which you are limited to MPEG-4 or H.264 output, the "drag 'n drop" batch processor is probably the easiest to use if you have a large number of files requiring conversion. Playing with the video data rate should allow you to prevent the loss of too much quality which you run your tests to decide if you need more/better output options as offered by other applications.

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