This paper presents a parallel implementation for the Optimal Transportation Meshfree (OTM) method on large CPU clusters. Communications are handled with the Message Passing Interface (MPI). The Recursive Coordinate Bisection (RCB) algorithm is utilized for domain decomposition and for implementing dynamic load-balancing strategy. This work involves three new concepts to reduce the computational efforts: Dynamic halo regions, Efficient data management strategies for ease of addition and deletion of nodes and material points using advanced STL container, and nearest neighborhood communication for detection of neighbors and communication. Also, Linked Cell approach has been implemented to further reduce the computational efforts. Parallel performance analysis is investigated for challenging multiphysics applications like Taylor rod impact and serrated chip formation process. Adequate scalability of parallel implementation for these applications is reported.