Peruvians have been wearing knits made of alpaca fiber for centuries.
And it was fur of every variety: brushed mohair, alpaca, ponyhair, and astrakhan.
1792, from Spanish alpaca, probably from Aymara allpaca, related to Quechua p'ake "yellowish-red." The al- is perhaps from influence of Arabic definite article (see almond). Attested in English from 1753 in the form pacos.