how to 'load data infile' on amazon RDS?
You need to use LOAD DATA LOCAL INFILE as the file is not on the MySQL server, but is on the machine you are running the command from.
As per comment below you may also need to include the flag:
--local-infile=1
For whatever it's worth... You can add the LOCAL operand to the LOAD DATA INFILE instead of using mysqlimport to get around this problem.
LOAD DATA LOCAL INFILE ...
This will work without granting FILE permissions.
Pretty sure you can't do it yet, as you don't have the highest level MySQL privileges with RDS. We've only done a little testing, but the easiest way to import a database seems to be to pipe it from the source box, e.g.
mysqldump MYDB | mysql -h rds-amazon-blah.com --user=youruser --pass=thepass