No, Firefox will only "import" a bookmarks.html file - which the "standard" interchange format that almost all browsers use.

In Firefox, you can export in bookmarks.html format through Bookmarks > Organize Bookmarks -> Import & Backup - Export HTML...

What program generated that CSV file?

Under organize bookmarks, I have no Library and no Import / Export. The program that generated the csv file was found at: http://www.kaycircle.com/Export-Bookmarks-to-CSV-Format-Add-on-for-Firefox

Bookmarks > Organize Bookmarks or from the keyboard using {Ctrl + Shft + B} - the window that opens is labeled "Library"

Import and Export are in the Import & Backup menu in the Library window

Every browser I have ever used - Netscape, SeaMonkey, Firefox, Opera, IE, Chrome, K-Meleon, & Safari has been able to both import and export bookmarks / favorites in the "NETSCAPE-Bookmark-file-1" HTML format. It is the unofficial, universal file interchange format for that type of data for web browsers. Most browsers have the import / export menu items in the main File menu, except for Firefox and Chrome, which have the import / export function in their respective "bookmarks manager".

Thanks for the link for the program / extension you used to get that file. It's a new extension for Firefox that I haven't heard of before now. 07-21-2010 @ Sourceforge
http://sourceforge.net/projects/firefoxcsv/
and at AMO
https://addons.mozilla.org/en-US/firefox/addon/175990/
I wonder what the point of that extension is, as far as which applications need bookmarks in CSV format or can import that type of format?
It might be helpful for editing or merging bookmarks in a spreadsheet type program, but what does the user do once that editing is done, I wonder. I can't think of a browser that can import bookmarks in CSV format. Unless I am missing something it seems like a one-way process.

I agree that the csv file is pretty neat, but to what advantage? The problem I am having is that under Organize Bookmarks, there is no Library. Possibly I have deleted it in my ignorance. Can I reinstall FF over the current instance, and not lose the bookmarks I already have, hoping to get the "library" again?

Bookmarks > Organize Bookmarks opens the Bookmarks and History Manager also known as the Library.
You can click the Import & Backup button to get access to the Import/Export and Backup/Restore functions.

You can use the CSV format to import bookmarks in a (spreadsheet) program that only supports CSV and not the HTML format.