Moisture conditions of food and soil are essential for the survival and foraging activities of subterranean termites. Polyacrylamide/attapulgite composite is a water-retaining agent that has been applied to increase moisture of agricultural soils. We hypothesize that polyacrylamide/attapulgite composite may increase the moisture of bait matrixes and soil surrounding baiting containers and therefore attract termites and increase their foraging activities. In the present study, aggregation and feeding preferences, survivorship, body water percentage, and wood consumption of Formosan subterranean termites, Coptotermes formosanus Shiraki (Blattodea: Rhinotermitidae), were investigated when responding to polyacrylamide/attapulgite composite that was buried within soil (substrate) or filled in the void volume of baiting containers. Two-choice tests showed that termites consumed significantly more wood when polyacrylamide/attapulgite composite was buried within dry soil (27%-moisture) than the controls (no polyacrylamide/attapulgite composite was provided). However, polyacrylamide/attapulgite composite buried within wet soil (54%-moisture) did not significantly affect foraging behaviors of termites. Multiple-choice tests showed no aggregation or feeding preference of termites in the baiting containers filled with polyacrylamide/attapulgite composite compared with the soil-filled or unfilled ones, whenever the substrate was dry or wet. No-choice tests showed that the presence of polyacrylamide/attapulgite composite (buried within soil or filled in baiting containers) significantly increased wood consumption and body water percentage of termites as well as wood moisture under dry-substrate conditions. Our studies suggest that burying polyacrylamide/attapulgite composite within dry soil may enhance foraging activities of termites, but filling the bait stations with polyacrylamide/attapulgite composite may not effectively attract termites.