Basically this Q&A site isn’t the place for feature requests. That would be bugs.documentfoundation.org.
On the other hand, there are concerns that do not necessarily require an addition to issued software, but can be served with a little programming by users.
In this case, I see a little extra problem in the plethora of locales that can handle quotes very differently. Simple “straight” quotes will not cause a problem.
Concerning the removal of line breaks you need to make clear if you actually mean hard line breaks or paragraph breaks. They need to be handled differently.
Addendum
As I expected and now checked, the mentioned program ‘Kate’ is basically an ASCII editor tuned for programming purposes. There are many of the kind.
The fundamental difference to a text processing program like Writer
is the marginal role of formatting , text attributes, styles, …
Surely you wouldn’t expect ‘Kate’ to support character styles, frames, tables …
Why do you expect Writer to do the tricks Kate is made for?
Let’s continue to distinguish hammers from screw drivers.