The agitators put up the blockade at Chamurchi in Banarhat area at about 7 am and dispersed around 7 pm after rounds of discussions with officials.
The protesters demonstrated outside the panchayat office affecting work there and the local market was also closed in view of the agitation demanding regular water supply, the sources said.
No business could be conducted between India and Bhutan during the day as trucks failed to cross the international border due to the agitation, the sources said.
The local people said if the district magistrate did not visit the area tomorrow to get a first hand knowledge of their problem, they would go for a long term agitation.
About the water problem, the agitators alleged that for a long time they received either a meagre amount of water or none at all for a long time.
A water project which was nearing completion would not serve any purpose as the pipe linking to the area was very narrow and would not be able to carry water at all places, they said.
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