V-REP allows you to perform cutting simulations. The user can model almost any type of cutting volumes as long as they are convex (however you can always combine several convex cutting volumes to obtain a non-convex cutting volume). The scene objects that allow for this functionality are mills, which can cut cuttable entities. Following figures illustrates examples using mills:
[Two cutting simulation examples]
Mills are added to the scene with [Menu bar --> Add --> Mill].