Could they mean that the material is suitable per 21CFR, but as you state, it would not meet the cleaning requirements. Benign material that could be single use, but a user should not be expected to be able to maintain a clean surface?
I think that's it. Ok for single use or for things that will only come in contact with food that will be cooked (like cookie cutters). Not ok for plates, cups, spatulas, etc. unless you seal them post-print with a food safe coating. I've seen people print both categories of things, though...
As for toys, I don't see a big problem. Even if you eat PLA it won't really do much harm. It's safer than the ABS most toys are made from.
