Larger burst lengths can be an advantage - as long as the data you're transferring resides in contiguous address spaces. Only you can determine the suitability of your data space in this respect. Jump around the memory and you'll quickly lose out. Retrieve a large portion of data, only to use a small portion of it, and you'll suffer too. Providing you can repetitively transfer larger data chunks and process it you should benefit.
So, yes - it may help. Have you tried it? I suspect you're limited to a burst length of 8 with that memory device. Whilst you
may be able to configure your Avalon memory controller for burst lengths larger than that, it will limit it's transactions with the memory device to bursts of 8. So, you won't get the efficiency gain you're after, although it may simplify the your code with fewer accesses to the memory controller.
Other ways - can you run your memory faster?
Cheers,
Alex