DE can be absolutely wonderful if used correctly. Of course it has to be food grade. I wouldn't be too worried about the "can consume, but don't inhale" part. I mean, that's true about any water or food - we can consume it, but water and food are not safe to be inhaled into our lungs
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If you're going to give it, moisten it and/or give with some moistened food. Btw, lots of people take food grade DE themselves...it has a lot of benefits.