We carved some things out of Eucalyptus when we were in Vicotia last year. I dont know of it made a difference, but it had not rained for about 4 months.
I found that working green to an almost finished article was quite easy, similar to something like alder or sycamore over here. When I tried later, the wood was a lot harder - but a sharp knife and some care was all that was needed. Possibly equivalent to some well seasoned plum.
I dont know about toxicity, but I have not used my spoon yet. I am assuming that since people use the oil for all sorts of things, and I will add a treatment before that, that it will be ok.
Some of the locals we met were concerned about splitting, but we had no problems. Then again, we were only working on small scale stuff.
Hope that helps