Creating labels from comma deliminated text

I have a text file of names and addresses in text format with fields separated by commas. I can not figure out how to convert this to mailing labels. How do I tell the program where and/or how to find the text file? I go to file>new>labels which opens the labels dialog. There does not seem to be a way to then direct the program to the text file.

I hope the attached screenshoot can help to find the way.

Isn’t Calc more suitable for Label?