This paper presents the development of a low-cost cataract surgery simulator for trainees to practise phacoemulsification procedures with computer-generated models in virtual environments. It focuses on the training of cornea incision, capsulorrhexis and phaco-sculpting, which are simulated interactively with computationally efficient algorithms developed for tissue deformation, surface cutting and volume sculpting.Intuitive two-handed human-computer interactions are achieved with six degrees-offreedom haptic devices. Performance of trainees on manual dexterity is recorded with quantifiable metrics. The proposed virtual-reality system has the potential to serve as an alternative training tool to supplement conventional cataract surgery education.