Sigh!
There has been no report, which could be found, of people being affected by the handling of these particular,cereal based, packing peanuts.
I was advised, by a toxicologist from an Agency which I contacted, that it would be wise to wear gloves if handling large amount of the particular packing peanut as a precaution, based on the information which I provided.
There could be/have been isolated incidences, other than the one I was discussing, of which the Agency has no knowledge.
Cereals are treated with pesticide prior to importation, and arsenic can be a component of those pesticides.
There it is---Officially---Nothing.
It was an extremely interesting conversation, nonetheless