I presume there must be a way of incorporating CR/LF sequences properly into a field in an SQLite table using SQLite 3, but I can't find what it is! I've tried such old and tested methods as \n\r but they don't work...
Indeed, Erel, I was rapidly coming to the same conclusion, namely that it would have to be done as an SQL command, rather than letting SQLite use its .IMPORT command (which doesn't know what to do with carriage returns).
I've used SQL for years now in other contexts and find it pretty straightforward, but this restriction can be a bit of a nuisance when trying to import materials from a CSV file!
I at last found another - and simpler - solution, which may be useful to others here.
The SQLite Manager addon for Firefox (not the stand-alone version) understands CR/LF, and so allows paragraphed text to be pasted directly into the appropriate cell; and unlike the stand-alone Manager, it's free!