How to set proxy authentication type as "digest" in the terminal?

Question

Hi,

I'm using Ubuntu 10.04 LTS. I have my institution running a squid proxy server, only that the authentication mechanism is digest mode. How do I set this in the terminal?

If I say "export http_proxy=http://user:passwd@proxy:port", it gives me an error "407 Proxy Authentication Required". Why is this so? I'm guessing it is because the authentication mechanism is digest, and is not supported by apt-get. Is there a workaround if this is true?

The output of my commands can be found in http://pastebin.com/eUn42SFf.