I have SprutCam and I don't think it would be very good for engraving. But there are several low cost engraving packages out there that specialise in what your talking about. Vetric springs to mind.
As far engraving on a cylinder, it can be done, but the best way is to lay the design out flat and then manually substite any Y axis movements for A axis movement. That way the tool only moves in the X and Z axis and the cylinder rotates in the A axis with the rotary table. I think there was some talk of this in the Tormach Yahoo forums.
By the way, great machine for the price.