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If you're planning on the MR2 Turbo, I'd say go for it. It has been done by theWraith, and he's currently working on getting a kit made with the stuff you would need for the swap (right?). You could source your engine from either an MR2 Turbo or a Celica All-Trac (ST185 for sure... was the 3SGTE in the 165 as well?).If you were planning on an NA MR2, they would share the same engine as your Camry, unless of course your Camry has the V6, in which case I would stay with that. Also, Ratko has done the auto->manual swap, so you can check out his site for details on that.
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If torque actually won races, wouldn't we all be driving diesels?
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