For what it's worth, Heifer International has released quite a few detailed reports on their projects which you can review here: (http://www.heifer.org/ending-hunger/our-impact/reports.html). If you're satisfied, maybe consider giving. If not, and you're qualified to offer a contrary explanation, please share it.
But assuming a negative impact without reviewing their approach is a perfect example of what has come to be known as "middlebrow dismissal". "Charities can have negative consequences which outweigh their good, this is a charity, therefore it has negative consequences which outweigh its good" is not a valid argument. The propensity of charities to produce negative unintended consequences is a sign to be careful, but not sufficient proof to dismiss charities outright.
Note that Charity Navigator gives Heifer International a nearly perfect score on Transparency and Accountability. (http://www.charitynavigator.org/index.cfm?bay=search.summary...)