Valuation of second hand machinery: certified chartered engineer inspection reports must support declared import values. Valuation of imported used machinery should use the transaction value where Rule 3 applies; if not, subsequent valuation rules may be impracticable and the proper officer may need to apply the residual method under Rule 9 to account for condition, depreciation, refurbishment and related pre shipment or dismantling charges. To ensure uniform and commercially realistic valuation, Customs will accept inspection/appraisement reports from qualified Chartered Engineers based in the country of sale or from engineers empanelled by the Customs House, using prescribed Form A (overseas) or Form B (local) reports, and will compare declared values against appraisal and depreciated values, invoking Rule 12 where significant differences arise.