Generally, 8cm (mini) DVD-R/RW discs, that have been developed based on the DVD Format Standard as well as its recording format, should have no problem recording and playing back on Sony DVD Handycam Camcorders and those made by others such as Hitachi and panasonic.
The Newer Hitachi and panasonic camcorder models also use the mini 8cm DVD-RAM (single sided 1.4gb/double sided 2.8gb) formats which are re-recordable.
(Look for 'camcorder use': just because package may state for 'data and video' use does not guarantee will be compatible on most camcorders)
There are some discs on the market from other parties that do not have sufficient quality and performance. Use of these discs can cause the same types of problems that occur with discs contaminated with dirt, dust, and fingerprints. (or Camcorders firmware may not allow disc to be recognised at all, as manufacturer does not rate for use as low quality.)
Best rule is to purchase premium quality discs from manufacturers such as Verbatim, Sony and Panasonic , especially for Re-Recordable discs which will be used again and again. After all you want to capture those precious memories when they happen and not be let down by your recordable media.