YES!!! What, no herding dogs in Bethlehem 2,000 years ago? off to google it...

The Canaan Dog is a pariah dog that has survived in the desert region of Israel for thousands of years. Believed to be the dog breed that the Hebrews used in biblical times to herd and guard their flocks and encampments, some are still used by Bedouins and Druse for this purpose today.

...the guard and herd dog of the ancient Israelites, guarding their camps and flocks. At the time of the Diaspora, the Israelites were forcefully removed from their land and had to leave behind their dogs. These dogs reverted to the wild.
Avoiding extinction, they remained undomesticated for the most part, although some lived with the Bedouins and earned their keep by guarding the herds and camps.... In June 1989, the Canaan dog entered the American Kennel Club (AKC) Miscellaneous Class. Its profile was raised when John F. Kennedy Jr. purchased a Canaan dog... https://en.wikipedia.org/wiki/Canaan_Dog