Why a charity refused $45m of US aid money - The First Post - September 18, 2008

Care's hunger advisor, Vanessa Rubin, says the money the charity refused is tied to buying the grain from American farmers and shipping it in American carriers. Which means that much of the aid 'money' goes back to the US. When it arrives in Ethiopia some food goes to needy Ethiopians, but the rest is sold cheaply in markets, undercutting local farmers and giving little incentive for them to grow more. The combination of wastage and the damage done to the local market means the aid does more harm than good, says Care. Read More.