Disclosed is an improved cutting-and-transferring system for cutting and separating a workpiece into pellets. The workpiece is held by a holder member. The system comprises: a holding table for holding a workpiece to be cut; a cutting unit including at least cutting means for cutting the workpiece on the holding table into pellets; a transferring unit including at least transferring means for picking up the pellets from the holder member and for transferring to a selected carrier tray; and a shuttle transfer unit for transferring a selected cut workpiece from the cutting unit to the transferring unit. All these parts work automatically in unison, thus reducing the length of time involved for cutting workpieces into pellets and for loading carrier trays with pellets to possible minimum.