I completely disagree here. I know a number of Lovecraft fans and none of them would condone any sort of racism. All of them, without exception, are aware of Lovecraft's flaws and they can appreciate his work while acknowledging them. Thinking we have to purge work from the collective consciousness because it was written by flawed people or in a time or place with different morals is ridiculous and in my opinion dangerous.
I don't think purging Lovecraft is an option either. Lovecraft has become hugely influential. He did good work. It's important to separate the art from the artist.
But, at the same time, it is encouraging people to read and share the work of a pretty racist human being. Thankfully, Lovecraft no longer financially benefits from his work, so we're no longer directly supporting him (unlike, say, Orson Scott Card), so we're not supporting his beliefs through innaction.
But that
does not mean we shouldn't try to avoid racist imagery and symbolism.
It's important for a balance to be struck and be careful what Lovecraftian elements you permit into the game. And to not be seen as condoning or forgiving his beliefs, which cannot even be argued as being "a product of his times". And when presenting something Lovecraftian, monsters are pretty safe, but when you drift into anything humanoid things get a little more uncomfortable. You need to be careful what aspects you are emphasizing and using to tell your story. And more deliberate action has to be taken to work against racism so as not to condone his racial beliefs.
To me, orcs are presented as nasty, evil, smelly, and violent. I would never associate that with any group of humans. Why would anyone else, and if they do how is that anyone's fault but theirs?
This is completely blaming the victim. "If you didn't like the obvious suggested implications, you should have thought that".
The movie creators presented the only dark skinned characters in the film - the only characters played by actors of colour - as brutal cannibalistic savages. Tolkien's accidental racism wasn't unknown prior to filming. This has been pointed out for years and years (as far back as C.S. Lewis, who was a friend of Tolkien). The filmmakers could have done something to counter these negative associations, but did nothing.
Do people associate elves with real world nations? That seems bizarre. What would be the point?
This is a poor argument. It's claiming that "because elves aren't racist, orcs must also not be racist." (Or "X =/= Z, therefore Y must =/= Z"). That's not logically valid.
Traditional portrayals of elves also don't conform to negative stereotypes of a race. Especially since they're presented pretty positively.
I always imagine goblins/orcs as grey-skinned, more pale than dark - probably from watching the Hobbit cartoon when I was young. I also wouldn't have a problem with dark-skinned elves. Drow are different; they have obsidian colored skin not because they are evil but because of their subterranean habitat.
Firstly, subterranean creatures would be pale and albino and not black.
Secondly, it doesn't matter if the exact hues match real world races. If all the heroes of a film are pale lily white and all the villains are darker in colouration it perpetuates the very old stereotype that goodness is equated with skin tone. The movies went out of their way to include token females, attempting to fix the accidental sexism of Tolkien, but they didn't include any black Hobbits or elves or humans.
Edit: As an extension to this, the light/dark thing is often used as a proxy in the battle between good and evil (think positive and negative energy planes). This is far more fundamental than any issue with skin color and derives from our collective fear of the dark among other things. I think pointing to this as an example of racism would be a mistake (I'm not saying anyone is. I'm just saying.)
You can still have a shadowy dark evil without colour-coding the protagonists based on skin colouration. The fear of the dark applies because of the shadowy unknown, indistinct and mysterious. So heroes in bright clothes in well lit locations convey the same effect.
The thing is Western culture is implicitly racist. Racism exists. It's a thing. Especially in movies.

RPGs are small enough that they can be different. They can be better. It is literally about fantasy, so we don't have to accept the broken, damaged, unpleasant world as it is. We don't need to use the same tired old, lazy tropes or condone the racism of our world. Just saying "well, we're not racist so it's not our problem" does nothing to fix the problem and makes the D&D/RPG community complicit through inaction.