This paper presents the detailed experimental investigation on turning Aluminium Silicon Carbide particulate Metal Matrix Composite (Al-SiC-MMC) using polycrystalline diamond (PCD) 1600 grade insert. Experiments were carried out on medium duty lathe. A plan of experiments, based on the techniques of Taguchi, was performed. Analysis of variance (ANOVA) is used to investigate the machining characteristics of MMC (A356/10/$SiC_p$). The objective was to establish a correlation between cutting speed, feed and depth of cut to the specific power and surface finish on the work piece. The optimum machining parameters were obtained by Grey relational analysis. Finally, confirmation test was performed to make a comparison between the experimental results and developed model and also tool wear analysis is studied.