Alpacas, originally from the Andes of South America, are a domesticated type of camel which is now raised in Europe for its wool. Alpacas, originally from the Andes of South America, are a domesticated type of camel which is now raised in Europe for its wool. There are two types of Alpacas: Huacaya and Suri. The former have fine, crimped hair, the latter curly and straight strands. Like all camels, Alpacas also have a three-part stomach and a gummy plate in the upper jaw instead of incisors.