The present paper reports theoretical computations of the diffraction loss incurred by magnetostatic forward volume waves (MSFVW's) with propagation in a YIG film as a result of the finite length of the radiating transducer. As in the case of magnetostatic surface waves (MSSW's), this loss is found to decrease with increasing frequency, a feature that is consistent with the MSFVW dispersion characteristics, i.e., the MSFVW wavelength decreases monotonically with increasing frequency. Thus, as the frequency is increased, a radiating MSFVW transducer of given physical length becomes electrically longer so that MSFVW collimation is improved and the diffraction loss is reduced.