It is a mystery

Well - that was a rabbit hole! So llamas and alpacas do produce lanolin, just less than sheep do. One kind of alpaca definitely produces lanolin, but there is some question whether huacaya alpacas produce lanolin or not, some say they do, some not. If they do it is a small amount. I'd be willing to at least craft with huacaya wool if it were cleaned well. Cleaning and spinning, not so much. There is nothing like breaking out in a red rash to discourage a project!