Alpacas are members of the camelid family of South America and it is believed they were domesticated from the wild vicuna in the Andean highlands of Peru about 7,000 years ago, making them among the oldest domesticated animal in the world.  They were a cherished treasure of the ancient Incan civilization and played a central role in the Incan culture that was located on the high Andean Plateau and mountains of South America. This amazing animal provided the food, fuel, clothing and transportation for a civilization that thrived in an otherwise hostile environment.  They were prized for their fine cashmere-like fleece, the result of very sophisticated husbandry and management practices for that period of history that reached its highest level during the Inca Empire (1438-1532). 

With the Spanish conquest of the Incas in the early 1500s came the almost total decimation of the alpaca, and this resulted in the death of 80% of the rural Incan population, who died due to the slaughter of their life-sustaining alpacas. This wonderful animal survived only because of its importance to the Indian people, and its incredible ability to live at altitudes and conditions which cannot sustain the life of other domestic animals.

The fabulous qualities of alpaca fiber were rediscover in the mid 1800’s by Sir Titus Salt of London. Following his discovery, the alpaca regained its prominence. Today there is worldwide commerce in the alpaca and its products.

Due to political and economic circumstances in South America (including significant terrorist activity in Peru),  alpacas were exported to Australia, New Zealand, Canada, the United States, England, and Israel from Bolivia and Chile in 1983.  Peru, however, considered the alpaca a Peruvian national treasure, and therefore, placed a governmental ban on all exportation of alpaca. This ban was lifted in 1991 and the first Peruvian alpacas arrived in the US in 1993.

The Alpaca Owners and Breeders Association (AOBA) was formed in 1988 and began work on the creation of a registry in which to record the pedigree of their alpacas. This led to the creation of the Alpaca Registry, Inc. (ARI).
ARI closed it's books to importation in 1998.

While alpaca breeding is very young outside Peru the numbers are increasing substantially and the quality of the stock is improving due to careful and selective breeding by dedicated and enthusiastic American breeders.
The above information is from Alpacainfo on the AOBA Website,
a valuable resource for those interested in alpacas.
Alpacas History: