Are there any tools available for this type of package conversion?
Yes. Sql Server 2008 features a DTS package migration wizard. And here's an MSDN link to get you started.
You don't HAVE to do it. You can create new DTS packages in 2005 and probably 2008 by making a copy of an existing dts package and then modifying it.
If you do migrate them automatically, you will also need to do a manual code review for each one to make sure it did it correctly.
Also don't forget to check out MS' migration issues.
http://technet.microsoft.com/en-us/library/ms143462.aspx
BTW: "...custom tasks cannot be migrated, and some scripts in ActiveX Script tasks or in data transformations cannot be migrated."
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