We don't know of a food-safe craft paint or varnish on the market. PAINTS ARE NOT MADE FOR HUMAN CONSUMPTION. Even face paints have strict guidelines and strict testing proceedures.
DIYers and crafter's need to remember that:
It is our recommendation that varnishes, sealers and craft coatings should NOT be used, sold or advertised as food-safe. We also recommend that users always check the manufacturer's label.
Our advice is:
The international symbol for food safe material is a wine glass and a fork symbol. The symbol identifies that the material used in the product is safe for food contact.
The principle underlying this Regulation is that any material or article intended to come into contact directly or indirectly with food must be sufficiently inert to preclude substances from being transferred to food in quantities large enough to endanger human health or to bring about an unacceptable change in the composition of the food or a deterioration in its organoleptic properties. This includes food and water containers, packaging materials, cutlery etc. The regulation is applicable to any product intended for food contact whether it be made of metals, ceramics, paper and board, and plastics.
Click on the following link to read the full legislation document: REGULATION (EC) No 1935/2004 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 27 October 2004 on materials and articles intended to come into contact with food and repealing Directives 80/590/EEC and 89/109/EEC.
Please note that there is no specific legislation for "varnishes and coatings" included in the legislation but it is covered on the regulation's "List of groups of materials and articles which may be covered by specific measures".