Build RAG Chatbot with Haystack, Haystack In-memory store, Mistral Nemo, and Ollama snowflake-arctic-embed
Introduction to RAG
Retrieval-Augmented Generation (RAG) is a game-changer for GenAI applications, especially in conversational AI. It combines the power of pre-trained large language models (LLMs) like OpenAI’s GPT with external knowledge sources stored in vector databases such as Milvus and Zilliz Cloud, allowing for more accurate, contextually relevant, and up-to-date response generation. A RAG pipeline usually consists of four basic components: a vector database, an embedding model, an LLM, and a framework.
Key Components We'll Use for This RAG Chatbot
This tutorial shows you how to build a simple RAG chatbot in Python using the following components:
- Haystack: An open-source Python framework designed for building production-ready NLP applications, particularly question answering and semantic search systems. Haystack excels at retrieving information from large document collections through its modular architecture that combines retrieval and reader components. Ideal for developers creating search applications, chatbots, and knowledge management systems that require efficient document processing and accurate information extraction from unstructured text.
- Haystack in-memory store: a very simple, in-memory document store with no extra services or dependencies. It is great for experimenting with Haystack, and we do not recommend using it for production. If you want a much more scalable solution for your apps or even enterprise projects, we recommend using Zilliz Cloud, which is a fully managed vector database service built on the open-source Milvusand offers a free tier supporting up to 1 million vectors.)
- Mistral Nemo: A high-efficiency multilingual AI model optimized for natural language understanding and generation. It excels in low-latency conversational applications, offering robust performance across languages with minimal computational resources. Ideal for real-time chatbots, customer service automation, and scalable multilingual NLP tasks requiring accuracy and speed.
- Ollama Snowflake-Arctic-Embed: A high-performance embedding model optimized for semantic understanding and retrieval tasks. It excels in generating dense vector representations for text, offering robust accuracy and scalability. Ideal for enterprise applications like semantic search, recommendation systems, and data clustering, particularly in environments leveraging Snowflake’s data ecosystem for seamless integration and large-scale analytics.
By the end of this tutorial, you’ll have a functional chatbot capable of answering questions based on a custom knowledge base.
Note: Since we may use proprietary models in our tutorials, make sure you have the required API key beforehand.
Step 1: Install and Set Up Haystack
import os
import requests
from haystack import Pipeline
from haystack.components.converters import MarkdownToDocument
from haystack.components.preprocessors import DocumentSplitter
from haystack.components.writers import DocumentWriter
Step 2: Install and Set Up Mistral Nemo
To use Mistral models, you need first to get a Mistral API key. You can write this key in:
- The
api_key
init parameter using Secret API - The
MISTRAL_API_KEY
environment variable (recommended)
Now, after you get the API key, let's install the Install the mistral-haystack
package.
pip install mistral-haystack
from haystack_integrations.components.generators.mistral import MistralChatGenerator
from haystack.components.generators.utils import print_streaming_chunk
from haystack.dataclasses import ChatMessage
from haystack.utils import Secret
generator = MistralChatGenerator(api_key=Secret.from_env_var("MISTRAL_API_KEY"), streaming_callback=print_streaming_chunk, model='open-mistral-nemo')
Step 3: Install and Set Up Ollama snowflake-arctic-embed
pip install ollama-haystack
Make sure that you have a running Ollama model (either through a docker container, or locally hosted). No other configuration is necessary as Ollama has the embedding API built in.
from haystack import Document
from haystack_integrations.components.embedders.ollama import OllamaDocumentEmbedder
from haystack_integrations.components.embedders.ollama import OllamaTextEmbedder
text_embedder = OllamaTextEmbedder(model="snowflake-arctic-embed")
document_embedder = OllamaDocumentEmbedder(model="snowflake-arctic-embed")
Step 4: Install and Set Up Haystack In-memory store
from haystack.document_stores.in_memory import InMemoryDocumentStore
from haystack.components.retrievers import InMemoryEmbeddingRetriever
document_store = InMemoryDocumentStore()
retriever=InMemoryEmbeddingRetriever(document_store=document_store))
Step 5: Build a RAG Chatbot
Now that you’ve set up all components, let’s start to build a simple chatbot. We’ll use the Milvus introduction doc as a private knowledge base. You can replace it your own dataset to customize your RAG chatbot.
url = 'https://raw.githubusercontent.com/milvus-io/milvus-docs/refs/heads/v2.5.x/site/en/about/overview.md'
example_file = 'example_file.md'
response = requests.get(url)
with open(example_file, 'wb') as f:
f.write(response.content)
file_paths = [example_file] # You can replace it with your own file paths.
indexing_pipeline = Pipeline()
indexing_pipeline.add_component("converter", MarkdownToDocument())
indexing_pipeline.add_component("splitter", DocumentSplitter(split_by="sentence", split_length=2))
indexing_pipeline.add_component("embedder", document_embedder)
indexing_pipeline.add_component("writer", DocumentWriter(document_store))
indexing_pipeline.connect("converter", "splitter")
indexing_pipeline.connect("splitter", "embedder")
indexing_pipeline.connect("embedder", "writer")
indexing_pipeline.run({"converter": {"sources": file_paths}})
# print("Number of documents:", document_store.count_documents())
question = "What is Milvus?" # You can replace it with your own question.
retrieval_pipeline = Pipeline()
retrieval_pipeline.add_component("embedder", text_embedder)
retrieval_pipeline.add_component("retriever", retriever)
retrieval_pipeline.connect("embedder", "retriever")
retrieval_results = retrieval_pipeline.run({"embedder": {"text": question}})
# for doc in retrieval_results["retriever"]["documents"]:
# print(doc.content)
# print("-" * 10)
from haystack.utils import Secret
from haystack.components.builders import PromptBuilder
retriever=InMemoryEmbeddingRetriever(document_store=document_store)
text_embedder = OllamaTextEmbedder(model="snowflake-arctic-embed")
prompt_template = """Answer the following query based on the provided context. If the context does
not include an answer, reply with 'I don't know'.\n
Query: {{query}}
Documents:
{% for doc in documents %}
{{ doc.content }}
{% endfor %}
Answer:
"""
rag_pipeline = Pipeline()
rag_pipeline.add_component("text_embedder", text_embedder)
rag_pipeline.add_component("retriever", retriever)
rag_pipeline.add_component("prompt_builder", PromptBuilder(template=prompt_template))
rag_pipeline.add_component("generator", generator)
rag_pipeline.connect("text_embedder.embedding", "retriever.query_embedding")
rag_pipeline.connect("retriever.documents", "prompt_builder.documents")
rag_pipeline.connect("prompt_builder", "generator")
results = rag_pipeline.run({"text_embedder": {"text": question}, "prompt_builder": {"query": question},})
print('RAG answer:\n', results["generator"]["replies"][0])
Optimization Tips
As you build your RAG system, optimization is key to ensuring peak performance and efficiency. While setting up the components is an essential first step, fine-tuning each one will help you create a solution that works even better and scales seamlessly. In this section, we’ll share some practical tips for optimizing all these components, giving you the edge to build smarter, faster, and more responsive RAG applications.
Haystack optimization tips
To optimize Haystack in a RAG setup, ensure you use an efficient retriever like FAISS or Milvus for scalable and fast similarity searches. Fine-tune your document store settings, such as indexing strategies and storage backends, to balance speed and accuracy. Use batch processing for embedding generation to reduce latency and optimize API calls. Leverage Haystack's pipeline caching to avoid redundant computations, especially for frequently queried documents. Tune your reader model by selecting a lightweight yet accurate transformer-based model like DistilBERT to speed up response times. Implement query rewriting or filtering techniques to enhance retrieval quality, ensuring the most relevant documents are retrieved for generation. Finally, monitor system performance with Haystack’s built-in evaluation tools to iteratively refine your setup based on real-world query performance.
Haystack in-memory store optimization tips
Haystack in-memory store is just a very simple, in-memory document store with no extra services or dependencies. We recommend that you just experiment it with RAG pipeline within your Haystack framework, and we do not recommend using it for production. If you want a much more scalable solution for your apps or even enterprise projects, we recommend using Zilliz Cloud, which is a fully managed vector database service built on the open-source Milvusand offers a free tier supporting up to 1 million vectors
Mistral Nemo optimization tips
To optimize Mistral Nemo in a RAG setup, focus on improving retrieval quality by fine-tuning embeddings for domain-specific data, chunking documents into 256-512 token segments for balanced context, and using metadata filtering to reduce noise. Adjust the top-k retrieval count dynamically based on query complexity. For generation, enable model quantization (e.g., 4-bit) to speed up inference and trim response length via max_token limits. Use caching for frequent queries and profile latency to identify bottlenecks. Regularly validate outputs against ground-truth datasets to refine accuracy.
Ollama Snowflake-Arctic-Embed optimization tips
To optimize Ollama Snowflake-Arctic-Embed in a RAG setup, ensure input text is cleanly chunked (e.g., 256-512 tokens) to align with its context window. Use batch processing for embeddings to reduce latency, and leverage hardware acceleration (e.g., CUDA for GPUs). Fine-tune with domain-specific data to improve retrieval relevance. Quantize the model for faster inference with minimal accuracy loss. Cache frequently accessed embeddings, and experiment with dimensionality reduction techniques like PCA if storage or speed constraints exist. Regularly validate embedding quality using similarity benchmarks.
By implementing these tips across your components, you'll be able to enhance the performance and functionality of your RAG system, ensuring it’s optimized for both speed and accuracy. Keep testing, iterating, and refining your setup to stay ahead in the ever-evolving world of AI development.
RAG Cost Calculator: A Free Tool to Calculate Your Cost in Seconds
Estimating the cost of a Retrieval-Augmented Generation (RAG) pipeline involves analyzing expenses across vector storage, compute resources, and API usage. Key cost drivers include vector database queries, embedding generation, and LLM inference.
RAG Cost Calculator is a free tool that quickly estimates the cost of building a RAG pipeline, including chunking, embedding, vector storage/search, and LLM generation. It also helps you identify cost-saving opportunities and achieve up to 10x cost reduction on vector databases with the serverless option.
Calculate your RAG cost
What Have You Learned?
By diving into this tutorial, you’ve unlocked the magic of building a RAG system from the ground up! You now understand how Haystack acts as the flexible backbone, orchestrating the entire pipeline with its intuitive workflows, while the Haystack In-Memory Store simplifies vector storage and retrieval, making experimentation lightning-fast. You’ve seen Mistral Nemo in action as the powerhouse LLM, generating crisp, context-aware responses, and how the Ollama Snowflake-Arctic-Embed model transforms raw text into rich embeddings, ensuring your system understands nuances in data. Together, these tools create a seamless RAG pipeline—retrieving precise information, enhancing it with generative AI, and delivering answers that feel both accurate and human. Plus, you’ve picked up pro tips for optimizing performance, like tweaking chunk sizes and balancing latency with accuracy, and even discovered a free RAG cost calculator to keep your projects budget-friendly without sacrificing quality.
But this is just the beginning! You’re now equipped to build smarter applications, whether it’s chatbots that actually understand context or research tools that surface insights in seconds. The sky’s the limit when you combine these components with your creativity. So why wait? Take what you’ve learned, experiment with different datasets, fine-tune those models, and watch your ideas come to life. Every optimization you apply and every feature you add brings you closer to building something groundbreaking. The future of AI-driven solutions is in your hands—go out there and innovate, iterate, and inspire. Your next RAG masterpiece is waiting to be built! 🚀
Further Resources
🌟 In addition to this RAG tutorial, unleash your full potential with these incredible resources to level up your RAG skills.
- How to Build a Multimodal RAG | Documentation
- How to Enhance the Performance of Your RAG Pipeline
- Graph RAG with Milvus | Documentation
- How to Evaluate RAG Applications - Zilliz Learn
- Generative AI Resource Hub | Zilliz
We'd Love to Hear What You Think!
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- Introduction to RAG
- Key Components We'll Use for This RAG Chatbot
- Step 1: Install and Set Up Haystack
- Step 2: Install and Set Up Mistral Nemo
- Step 3: Install and Set Up Ollama snowflake-arctic-embed
- Step 4: Install and Set Up Haystack In-memory store
- Step 5: Build a RAG Chatbot
- Optimization Tips
- RAG Cost Calculator: A Free Tool to Calculate Your Cost in Seconds
- What Have You Learned?
- Further Resources
- We'd Love to Hear What You Think!
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