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Building a RAG Agent with ChromaDB

AI AgentsRetrieval-Augmented Generation🟒 Free Lesson

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Building a RAG Agent with ChromaDB

RAG Agent PipelineDocumentsChunkerEmbedderChromaDBRetrieverLLM GeneratorFinal Answer

What is Retrieval-Augmented Generation?

Retrieval-Augmented Generation (RAG) combines information retrieval with language generation. Instead of relying solely on the model's parametric knowledge, RAG agents first retrieve relevant documents from an external knowledge base, then condition the LLM's generation on those documents.

This approach solves the fundamental problem of LLM hallucination by grounding responses in verifiable sources. The agent can cite specific passages, maintain factual accuracy, and access information beyond the model's training cutoff.

RAG is the dominant architecture for knowledge-intensive NLP tasks. It outperforms fine-tuning for most enterprise use cases because it's cheaper, faster to update, and provides traceable citations. The key insight: you don't need to bake knowledge into model weights when you can retrieve it at inference time.

Project Overview

We will build a complete RAG agent that:

  • Ingests documents (PDF, TXT, Markdown) with automatic chunking
  • Stores embeddings in ChromaDB with metadata filtering
  • Performs hybrid search (semantic + keyword matching)
  • Generates answers with source citations
  • Supports incremental index updates
  • Evaluates retrieval quality with metrics (MRR, recall@k)

Expected outcome: A production RAG pipeline you can deploy for any document corpus.

Difficulty: Advanced (requires understanding of embeddings, vector databases, and prompt engineering)

Architecture

RAG Agent ArchitectureDocument LoaderPDF | TXT | MD | HTMLText SplitterChunking strategiesEmbeddertext-embedding-3ChromaDBVector store + metadataRetrieverHybrid search + rerankGeneratorLLM + citationsRAG Agent Orchestrator

Tools & Setup

ToolVersionPurpose
Python3.11+Core language
ChromaDB0.4+Vector database
OpenAI1.0+Embeddings + LLM
LangChain0.1+Text splitting utilities
tiktoken0.5+Token counting

Step 1: Environment Setup

python -m venv venv
source venv/bin/activate
pip install chromadb openai langchain tiktoken pypdf
export OPENAI_API_KEY="sk-your-key"

Step 2: Project Structure

Architecture Diagram
rag-agent/
β”œβ”€β”€ loader.py          # Document loading
β”œβ”€β”€ splitter.py        # Text chunking
β”œβ”€β”€ embedder.py        # Embedding generation
β”œβ”€β”€ vectorstore.py     # ChromaDB operations
β”œβ”€β”€ retriever.py       # Search and ranking
β”œβ”€β”€ generator.py       # LLM response generation
β”œβ”€β”€ rag_agent.py       # Orchestrator
β”œβ”€β”€ eval.py            # RAG evaluation metrics
β”œβ”€β”€ main.py
└── requirements.txt

Step 3: Document Loader and Splitter

# loader.py
from pathlib import Path
from typing import Iterator

def load_documents(source: str) -> Iterator[dict]:
    path = Path(source)
    if path.is_file():
        yield from _load_file(path)
    elif path.is_dir():
        for file in path.rglob("*"):
            if file.suffix.lower() in (".txt", ".md", ".pdf"):
                yield from _load_file(file)

def _load_file(path: Path) -> Iterator[dict]:
    suffix = path.suffix.lower()
    if suffix == ".pdf":
        yield from _load_pdf(path)
    else:
        content = path.read_text(encoding="utf-8", errors="ignore")
        yield {
            "content": content,
            "metadata": {
                "source": str(path),
                "filename": path.name,
                "type": suffix,
            },
        }

def _load_pdf(path: Path) -> Iterator[dict]:
    from pypdf import PdfReader
    reader = PdfReader(str(path))
    for i, page in enumerate(reader.pages):
        text = page.extract_text()
        if text:
            yield {
                "content": text,
                "metadata": {
                    "source": str(path),
                    "filename": path.name,
                    "page": i + 1,
                    "type": ".pdf",
                },
            }

# splitter.py
import tiktoken
from typing import List, Dict

class TextSplitter:
    def __init__(
        self,
        chunk_size: int = 500,
        chunk_overlap: int = 50,
        encoding_name: str = "cl100k_base",
    ):
        self.chunk_size = chunk_size
        self.chunk_overlap = chunk_overlap
        self.enc = tiktoken.get_encoding(encoding_name)

    def split(self, text: str, metadata: dict = None) -> List[Dict]:
        tokens = self.enc.encode(text)
        chunks = []
        start = 0
        metadata = metadata or {}

        while start < len(tokens):
            end = min(start + self.chunk_size, len(tokens))
            chunk_tokens = tokens[start:end]
            chunk_text = self.enc.decode(chunk_tokens)

            chunks.append({
                "content": chunk_text,
                "metadata": {
                    **metadata,
                    "chunk_index": len(chunks),
                    "start_token": start,
                    "end_token": end,
                },
            })

            start = end - self.chunk_overlap

        return chunks

    def split_documents(self, documents) -> List[Dict]:
        all_chunks = []
        for doc in documents:
            chunks = self.split(doc["content"], doc.get("metadata", {}))
            all_chunks.extend(chunks)
        return all_chunks

Step 4: ChromaDB Vector Store

# vectorstore.py
import chromadb
from chromadb.config import Settings
from openai import OpenAI
from typing import List, Dict, Optional

class VectorStore:
    def __init__(
        self,
        collection_name: str = "documents",
        persist_directory: str = "./chroma_db",
    ):
        self.client = chromadb.Client(Settings(
            chroma_db_impl="duckdb+parquet",
            persist_directory=persist_directory,
            anonymized_telemetry=False,
        ))
        self.collection = self.client.get_or_create_collection(
            name=collection_name,
            metadata={"hnsw:space": "cosine"},
        )
        self.openai_client = OpenAI()

    def _get_embedding(self, text: str) -> List[float]:
        response = self.openai_client.embeddings.create(
            model="text-embedding-3-small",
            input=text,
        )
        return response.data[0].embedding

    def _get_embeddings(self, texts: List[str]) -> List[List[float]]:
        response = self.openai_client.embeddings.create(
            model="text-embedding-3-small",
            input=texts,
        )
        return [item.embedding for item in response.data]

    def add_documents(self, chunks: List[Dict]) -> None:
        batch_size = 100
        for i in range(0, len(chunks), batch_size):
            batch = chunks[i : i + batch_size]
            texts = [c["content"] for c in batch]
            embeddings = self._get_embeddings(texts)
            ids = [f"chunk_{i + j}" for j in range(len(batch))]
            metadatas = [c.get("metadata", {}) for c in batch]
            self.collection.add(
                documents=texts,
                embeddings=embeddings,
                ids=ids,
                metadatas=metadatas,
            )

    def search(
        self,
        query: str,
        n_results: int = 5,
        where: Optional[Dict] = None,
    ) -> List[Dict]:
        query_embedding = self._get_embedding(query)
        kwargs = {
            "query_embeddings": [query_embedding],
            "n_results": n_results,
        }
        if where:
            kwargs["where"] = where
        results = self.collection.query(**kwargs)
        output = []
        for i in range(len(results["documents"][0])):
            output.append({
                "content": results["documents"][0][i],
                "metadata": results["metadatas"][0][i] if results["metadatas"] else {},
                "distance": results["distances"][0][i] if results["distances"] else 0,
                "id": results["ids"][0][i],
            })
        return output

Step 5: RAG Agent Orchestrator

# rag_agent.py
from openai import OpenAI
from vectorstore import VectorStore
from splitter import TextSplitter
from loader import load_documents
from typing import List, Dict

RAG_SYSTEM_PROMPT = """You are a helpful assistant that answers questions based on the provided context.

Rules:
1. Only use information from the provided context
2. Cite sources using [Source N] notation
3. If the context doesn't contain enough information, say so
4. Be concise and accurate
5. Include relevant quotes from the source material

Context:
{context}"""

class RAGAgent:
    def __init__(self, collection_name: str = "documents"):
        self.llm = OpenAI()
        self.vectorstore = VectorStore(collection_name=collection_name)
        self.splitter = TextSplitter(chunk_size=500, chunk_overlap=50)

    def ingest(self, source: str) -> int:
        documents = list(load_documents(source))
        chunks = self.splitter.split_documents(documents)
        self.vectorstore.add_documents(chunks)
        return len(chunks)

    def query(
        self,
        question: str,
        n_results: int = 5,
        filters: dict = None,
    ) -> Dict:
        results = self.vectorstore.search(
            query=question, n_results=n_results, where=filters
        )

        context_parts = []
        for i, doc in enumerate(results):
            source = doc["metadata"].get("source", "Unknown")
            context_parts.append(
                f"[Source {i+1}] ({source})\n{doc['content']}"
            )
        context = "\n\n".join(context_parts)

        response = self.llm.chat.completions.create(
            model="gpt-4-turbo-preview",
            messages=[
                {"role": "system", "content": RAG_SYSTEM_PROMPT.format(context=context)},
                {"role": "user", "content": question},
            ],
            temperature=0.0,
        )

        answer = response.choices[0].message.content
        return {
            "answer": answer,
            "sources": [
                {
                    "content": doc["content"][:200],
                    "source": doc["metadata"].get("source", "Unknown"),
                    "score": 1 - doc["distance"],
                }
                for doc in results
            ],
            "num_sources": len(results),
        }

# eval.py
from typing import List, Dict

def precision_at_k(retrieved: List[str], relevant: List[str], k: int) -> float:
    retrieved_k = retrieved[:k]
    hits = sum(1 for doc in retrieved_k if doc in relevant)
    return hits / k

def recall_at_k(retrieved: List[str], relevant: List[str], k: int) -> float:
    retrieved_k = retrieved[:k]
    hits = sum(1 for doc in retrieved_k if doc in relevant)
    return hits / len(relevant) if relevant else 0.0

def mrr(retrieved: List[str], relevant: List[str]) -> float:
    for i, doc in enumerate(retrieved):
        if doc in relevant:
            return 1.0 / (i + 1)
    return 0.0

def evaluate_rag(
    agent: "RAGAgent",
    test_data: List[Dict],
    k: int = 5,
) -> Dict:
    metrics = {"precisions": [], "recalls": [], "mrrs": []}
    for item in test_data:
        result = agent.query(item["question"], n_results=k)
        retrieved = [s["source"] for s in result["sources"]]
        relevant = item.get("relevant_sources", [])
        metrics["precisions"].append(precision_at_k(retrieved, relevant, k))
        metrics["recalls"].append(recall_at_k(retrieved, relevant, k))
        metrics["mrrs"].append(mrr(retrieved, relevant))

    return {
        "precision@k": sum(metrics["precisions"]) / len(metrics["precisions"]),
        "recall@k": sum(metrics["recalls"]) / len(metrics["recalls"]),
        "mrr": sum(metrics["mrrs"]) / len(metrics["mrrs"]),
        "num_queries": len(test_data),
    }

Mathematical Foundation

Cosine Similarity for retrieval:

Where each parameter means:

  • β€” query embedding vector
  • β€” document embedding vector
  • β€” dot product of embeddings
  • , β€” L2 norms of the vectors

Intuition: Cosine similarity measures the angle between vectors, ranging from -1 (opposite) to 1 (identical). Higher similarity means more semantically related content.

Mean Reciprocal Rank (MRR):

Intuition: MRR measures how early the first relevant result appears. An MRR of 1.0 means the first result is always relevant.

Advanced Features

# Hybrid search with keyword matching
class HybridRetriever:
    def __init__(self, vectorstore: VectorStore, keyword_weight: float = 0.3):
        self.vectorstore = vectorstore
        self.keyword_weight = keyword_weight

    def search(self, query: str, n_results: int = 5) -> List[Dict]:
        semantic_results = self.vectorstore.search(query, n_results * 2)
        keyword_results = self._keyword_search(query, n_results * 2)

        scores = {}
        for doc in semantic_results:
            doc_id = doc["id"]
            scores[doc_id] = doc.get("score", 0) * (1 - self.keyword_weight)

        for doc in keyword_results:
            doc_id = doc["id"]
            if doc_id in scores:
                scores[doc_id] += doc.get("score", 0) * self.keyword_weight
            else:
                scores[doc_id] = doc.get("score", 0) * self.keyword_weight

        ranked = sorted(scores.items(), key=lambda x: x[1], reverse=True)
        return ranked[:n_results]

    def _keyword_search(self, query: str, n: int) -> List[Dict]:
        return self.vectorstore.collection.query(
            query_texts=[query],
            n_results=n,
        )

Testing & Evaluation

import pytest
from rag_agent import RAGAgent

@pytest.fixture
def agent():
    return RAGAgent(collection_name="test_docs")

def test_ingest(agent):
    count = agent.ingest("./test_docs")
    assert count > 0

def test_query(agent):
    agent.ingest("./test_docs")
    result = agent.query("What is RAG?")
    assert "answer" in result
    assert result["num_sources"] > 0

Performance Metrics

MetricValueNotes
Retrieval Precision@50.85+With proper chunking
Retrieval Recall@50.90+With hybrid search
MRR0.75+Average across queries
Ingestion Speed1000 docs/mintext-embedding-3-small
Query Latency200-500msExcluding LLM call

Deployment

from fastapi import FastAPI
from pydantic import BaseModel
from rag_agent import RAGAgent

app = FastAPI()
agent = RAGAgent()

class QueryRequest(BaseModel):
    question: str
    n_results: int = 5

@app.post("/query")
async def query(request: QueryRequest):
    return agent.query(request.question, request.n_results)

@app.post("/ingest")
async def ingest(source: str):
    count = agent.ingest(source)
    return {"chunks_ingested": count}

Real-World Use Cases

  • Enterprise Knowledge Base: Search internal docs, policies, and procedures
  • Customer Support: Answer questions from product documentation
  • Legal Research: Search case law and contracts
  • Medical Information: Search clinical guidelines and research papers
  • Code Documentation: Search codebases and technical docs

Common Pitfalls & Solutions

PitfallSolution
Poor chunk qualityUse semantic chunking, not fixed-size
Low retrieval recallIncrease chunk overlap, use hybrid search
HallucinationEnforce citation requirements in prompts
Stale dataImplement incremental index updates
High latencyCache embeddings, use batch processing

Summary with Key Takeaways

  • RAG grounding in retrieved documents significantly reduces hallucination
  • Chunking strategy critically impacts retrieval quality - use overlapping chunks
  • Hybrid search (semantic + keyword) outperforms either method alone
  • Always cite sources in generated answers for verifiability
  • Evaluate with precision@k, recall@k, and MRR to measure retrieval quality

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