The Panama Canal is a 77 km (48 mi) ship canal in Panama that joins the Atlantic and Pacific Ocean and is a key conduit for international maritime trade. On September 7 of 1977, the President of the United States, Jimmy Carter and Omar Torrijos of Panama signed a treaty guaranteeing the permanent neutrality of the canal. The treaty led to full Panamanian control effective at noon on December 31, 1999, and the Panama Canal Authority (ACP) assumed command of the waterway. The treaty sets out the restrictions on setting tolls.
To support the Toll Setting Process of the Panama Canal, a Planning Model was developed for computing the cost of transporting goods through several maritime routes.