Villagers will drop food towards another villager, but the giver will dip its head down when it picks up food/seeds because it picks up the food before the giver can. This repeats until either villager is too far away, or the dropped item is picked up by a villager other than the giver.

Steps to reproduce
1. Find 2 villagers (at least one as a farmer so it's more likely to happen)
2. Wait until a farmer villager gets enough food
3. Wait until the farmer tries to give food to another villager
4. Watch the giver dip its head
5. Giver will proceed to drop food
6. Repeat 3-5 until one way or another the food is gone