Build Enterprise-Ready AI Agents with the New Azure Postgres LangChain + LangGraph Connector
AI agents are only as powerful as the data layer behind them. That’s why we’re excited to announce native LangChain + LangGraph connector for Azure Database for PostgreSQL. With this release, Postgres becomes your single source of truth for AI agents, handling knowledge retrieval, chat history, and long-term memory all in one place. This new connector is packed with everything you need to build secure, scalable and enterprise-ready AI agents on Azure without the complexity. With EntraID authentication, DiskANN acceleration, vector store, and a dedicated agent store, you can go from prototype to production on Azure faster than ever. You can quickly get started with the LangChain + LangGraph connector today pip install langchain-azure-postgresql In this post, we’ll cover: How Azure Postgres connector for LangGraph can serve as the single persistence + retrieval layer for an AI agent New first-class connector for LangChain +LangGraph A practical example to help you get started Azure PostgreSQL as the single persistence + retrieval layer for an AI agent When building AI agents today, developers face a fragmented stack: Vector storage and search require a library, service or separate database. Chat history & short-term memory need yet another data source. Long-term memory often means bolting on yet another system. This sprawl leads to complex integrations, higher costs, and weaker security, making it hard to scale AI agents reliably. The Solution The new Azure Postgres connector for LangChain + LangGraph transforms your Azure Postgres database to the single persistence + retrieval layer for AI agents. Instead of working on a fragmented stack, developers can now: Run embeddings + semantic search with built-in DiskANN acceleration in the same database that powers their application logic. Persist chat history and short-term memory and keep agent conversations grounded via seamless context retrieval from data stored in Postgres. Capture, retrieve, and evolve knowledge over time with a built-in long-term memory without bolting on external systems. All in one database, simplified, secure, and enterprise ready. Postgres becomes the persistent and retrieval data layer for your AI agent. Built for Enterprise Readiness: LangChain + LangGraph Connector This release unlocks several new capabilities that make it easy to build robust, production-ready agents: Auth with EntraID: Enterprise-grade identity to securely connect LangChain + LangGraph workflows to Azure Database for PostgreSQL within a centrally managed security perimeter based on identity. DiskANN & Extensions: First-class support for faster vector search using pgvector combined with DiskANN indexing, enabling support for high-dimensional vectors and cost-efficient search. Additionally, helper functions ensure your favorite extensions are installed. Native Vector Store: Store and query embeddings, enabling semantic search and Retrieval-Augmented Generation (RAG) scenarios. Dedicated Agent Store: Persist agent state, memory, and chat history with structured access patterns, perfect for multi-turn conversations and long-term context. Together, these features give developers a turnkey persistence solution for building reliable AI agents without stitching together multiple storage systems. Using LangGraph on Azure Database for PostgreSQL Using LangGraph with Azure Database for PostgreSQL is easy. Enable the vector & pg_diskann Extension: Allowlist the vector and pg_diskann extension within your server configuration. Import LangChain + LangGraph connector pip install langchain-azure-postgresql pip install -qU langchain-openai pip install -qU azure-identity Login to Azure, to your Entra ID Run az login in your terminal, where you will also run the LangGraph code. az login To get started, you need to set up a production-ready vector store for your agent in a few lines of code. # 1. Auth: Securely connect to Azure Postgres connection_pool = AzurePGConnectionPool(azure_conn_info=ConnectionInfo(host=os.environ["PGHOST"])) #2. Create embeddings embeddings = AzureOpenAIEmbeddings(model="text-embedding-3-small") # 3. Initialize a vector store in Postgres with DiskANN vector_store = AzurePGVectorStore(connection=connection, embedding=embeddings) Use LangGraph to build a sample agent. Here’s a practical example that combines vector search and checkpointer inside Postgres: #4 Define the tool for data retrieval. def get_data_from_vector_store(query: str) -> str: """Get data from the vector store.""" results = vector_store.similarity_search(query) return results #5 Define the agent, checkpointer and memory store. with connection_pool.getconn() as conn: agent = create_react_agent( model=model, tools=[get_data_from_vector_store], checkpointer=PostgresSaver(conn) ) #6 Run the agent and print results config = {"configurable": {"thread_id": "1", "user_id": "1"}} response = agent.invoke( {"messages": [{"role": "user", "content": "What does my database say about cats? Make sure you address me with my name"}]}, config ) for msg in response["messages"][-2:]: msg.pretty_print() With just a few lines of code, you can: Uses the vector store backed by Postgres Enable DiskANN for semantic search Use checkpointers for short-term conversation history Learn More This is just the beginning. With native LangChain + LangGraph support in Azure PostgreSQL, developers can now rely on a single, secure, high-performance data layer for building the next generation of AI agents. 👉 Ready to start? All the code are available in the Azure Postgres Agents Demo GitHub repository. See how easy it is to bring your AI agent to life on Azure. 👉 Check out the docs for more details on the LangChain + LangGraph connector.Build AI Agents with Azure Database for PostgreSQL and Azure AI Agent Service
Introduction AI agents are revolutionizing how applications interact with data by combining large language models (LLMs) with external tools and databases. This blog will show you how to combine Azure Database for PostgreSQL with Azure AI Agent Service to create intelligent AI agents that can search and analyze your data. We'll use a legal research assistant as our example and walk through setup, implementation, and testing. With just a few hours of work, you can build an AI solution that would have taken weeks of traditional development. Why AI Agents Matter AI agents can improve productivity by handling repetitive, time-consuming tasks. AI agents can transform how businesses interact with their data by automating complex workflows, providing more accurate information retrieval, and enabling natural language interfaces to databases. What are AI agents? AI agents go beyond simple chatbots by combining large language models (LLMs) with external tools and databases. Unlike standalone LLMs or standard RAG systems, AI agents can: Plan: Break down complex tasks into smaller, sequential steps. Use Tools: Leverage APIs, code execution, search systems to gather information or perform actions. Perceive: Understand and process inputs from various data sources. Remember: Store and recall previous interactions for better decision-making. By connecting AI agents to databases like Azure Database for PostgreSQL, agents can deliver more accurate, context-aware responses based on your data. AI agents extend beyond basic human conversation to carry out tasks based on natural language. These tasks traditionally required coded logic; however, agents can plan the tasks needed to execute based on user-provided context. Agents can be implemented using various GenAI frameworks including LangChain, LangGraph, LlamaIndex and Semantic Kernel. All these frameworks support using Azure Database for PostgreSQL as a tool. This uses the Azure AI Agents Service for agent planning, tool usage, and perception, while using Azure Database for PostgreSQL as a tool for vector database and semantic search capabilities. Real-World Use Case: Legal Research Assistant In this tutorial, we'll build an AI agent that helps legal teams research relevant cases to support their clients in Washington state. Our agent will: Accept natural language queries about legal situations. Use vector search in Azure Database for PostgreSQL to find relevant case precedents. Analyze and summarize the findings in a format useful for legal professionals. Prerequisites Azure Resources An active Azure account. Azure Database for PostgreSQL Flexible Server instance running PG 14 or higher. With pg_vector and azure_ai extensions enabled Azure AI Foundry Project Deployed Azure GPT-4o-mini endpoint. Deployed Azure text-embedding-small endpoint. Local Setup Install Visual Studio Code. Install the Python extension. Install Python 3.11.x. Install Azure CLI.(latest version) Project Implementation All the code and sample datasets are available in this GitHub repository. Step 1: Set Up Vector Search in Azure Database for PostgreSQL First, we'll prepare our database to store and search legal case data using vector embeddings: Environment Setup: If using macOS / bash: python -m venv .pg-azure-ai source .pg-azure-ai/bin/activate pip install -r requirements.txt Windows / PowerShell python -m venv .pg-azure-ai .pg-azure-ai \Scripts\Activate.ps1 pip install -r requirements.txt Windows / cmd.exe: python -m venv .pg-azure-ai .pg-azure-ai \Scripts\activate.bat pip install -r requirements.txt Configure Environment Variables: Create a .env file with your credentials: AZURE_OPENAI_API_KEY="" AZURE_OPENAI_ENDPOINT="" EMBEDDING_MODEL_NAME="" AZURE_PG_CONNECTION="" Load documents and vectors The Python file load_data/main.py serves as the central entry point for loading data into Azure Database for PostgreSQL. This code processes sample cases data, including information about cases in Washington. High level details of main.py: Database setup and Table Creation: Creates necessary extensions, sets up OpenAI API settings, and manages database tables by dropping existing ones and creating new ones for storing case data. Data Ingestion: Reads data from a CSV file and inserts it into a temporary table, then processes and transfers this data into the main cases table. Embedding Generation: Adds a new column for embeddings in the cases table and generates embeddings for case opinions using OpenAI's API, storing them in the new column. The embedding process will take ~3-5 minutes To start the data loading process, run the following command from the load_data directory: python main.py Here's the output of main.py: Extensions created successfully OpenAI connection established successfully Cases table created successfully Temp cases table created successfully Data loaded into temp_cases_data table successfully Data loaded into cases table successfully Adding Embeddings, this will take a while around 3-5 mins... Embeddings added successfully All Data loaded successfully! Step 2: Create Postgres tool for the Agent In this step we will be configuring AI agent tools to retrieve data from Postgres and then using the Azure AI Agent Service SDK to connect your AI agent to the Postgres database. Define a function for your agent to call Start by defining a function for your agent to call by describing its structure and any required parameters in a docstring. Include all your function definitions in a single file, legal_agent_tools.py which you can then import into your main script. def vector_search_cases(vector_search_query: str, start_date: datetime ="1911-01-01", end_date: datetime ="2025-12-31", limit: int = 10) -> str: """ Fetches the cases information in Washington State for the specified query. :param query(str): The query to fetch cases for specifically in Washington. :type query: str :param start_date: The start date for the search, defaults to "1911-01-01" :type start_date: datetime, optional :param end_date: The end date for the search, defaults to "2025-12-31" :type end_date: datetime, optional :param limit: The maximum number of cases to fetch, defaults to 10 :type limit: int, optional :return: Cases information as a JSON string. :rtype: str """ db = create_engine(CONN_STR) query = """ SELECT id, name, opinion, opinions_vector <=> azure_openai.create_embeddings( 'text-embedding-3-small', %s)::vector as similarity FROM cases WHERE decision_date BETWEEN %s AND %s ORDER BY similarity LIMIT %s; """ # Fetch cases information from the database df = pd.read_sql(query, db, params=(vector_search_query,datetime.strptime(start_date, "%Y-%m-%d"), datetime.strptime(end_date, "%Y-%m-%d"),limit)) cases_json = json.dumps(df.to_json(orient="records")) return cases_json Step 3: Create and Configure the AI Agent with Postgres Now we'll set up the AI agent and integrate it with our PostgreSQL tool. The Python file src/simple_postgres_and_ai_agent.py serves as the central entry point for creating and using your agent. High level details of simple_postgres_and_ai_agent.py: Create an Agent: Initializes the agent in your Azure AI Project with a specific model. Add Postgres tool: During the agent initialization, the Postgres tool to do vector search on your Postgres DB is added. Create a Thread: Sets up a communication thread. This will be used to send messages to the agent to process Run the Agent and Call Postgres tool: Processes the user's query using the agent and tools. The agent can plan with tools to use to get the correct answer. In this use case the agent will call the Postgres tool based on the function signature and docstring to do vector search and retrieve the relevant data to answer the question. Display the Agent’s Response: Outputs the agent's response to the user's query. Find the Project Connection String in Azure AI Foundry: In your Azure AI Foundry project you will find you Project Connection String from the Overview page of the project we will use this string to connect the project to the AI agent SDK. We will be adding this string to the .env file. Connection Setup: Add these variables to your .env file in the root directory: PROJECT_CONNECTION_STRING=" " MODEL_DEPLOYMENT_NAME="gpt-4o-mini" AZURE_TRACING_GEN_AI_CONTENT_RECORDING_ENABLED="true" Create the Agent with Tool Access We will create the agent in the AI Foundry project and add the Postgres tools needed to query to Database. The code snippet below is an excerpt from the file simple_postgres_and_ai_agent.py. # Create an Azure AI Client project_client = AIProjectClient.from_connection_string( credential=DefaultAzureCredential(), conn_str=os.environ["PROJECT_CONNECTION_STRING"], ) # Initialize agent toolset with user functions functions = FunctionTool(user_functions) toolset = ToolSet() toolset.add(functions) agent = project_client.agents.create_agent( model= os.environ["MODEL_DEPLOYMENT_NAME"], name="legal-cases-agent", instructions= "You are a helpful legal assistant that can retrieve information about legal cases.", toolset=toolset ) Create Communication Thread: This code snippet, shows how to create a thread and message for the agent. The thread and message will be what the agent processes in a run. # Create thread for communication thread = project_client.agents.create_thread() # Create message to thread message = project_client.agents.create_message( thread_id=thread.id, role="user", content="Water leaking into the apartment from the floor above, What are the prominent legal precedents in Washington on this problem in the last 10 years?" ) Process the Request: This code snippet creates a run for the agent to process the message and use the appropriate tools to provide the best result. Using the tool, the agent will be able to call your Postgres and the vector search on the query “Water leaking into the apartment from the floor above”, to retrieve the data it will need to answer the question best. from pprint import pprint # Create and process agent run in thread with tools run = project_client.agents.create_and_process_run( thread_id=thread.id, agent_id=agent.id ) # Fetch and log all messages messages = project_client.agents.list_messages(thread_id=thread.id) pprint(messages['data'][0]['content'][0]['text']['value']) Run the Agent: To run the agent, run the following command from the src directory: python simple_postgres_and_ai_agent.py The agent will produce a similar result as below using the Azure Database for PostgreSQL tool to access case data saved in the Postgres Database. Snippet of output from agent: 1. Pham v. Corbett Citation: Pham v. Corbett, No. 4237124 Summary: This case involved tenants who counterclaimed against their landlord for relocation assistance and breach of the implied warranty of habitability due to severe maintenance issues, including water and sewage leaks. The trial court held that the landlord had breached the implied warranty and awarded damages to the tenants. 2. Hoover v. Warner Citation: Hoover v. Warner, No. 6779281 Summary: The Warners appealed a ruling finding them liable for negligence and nuisance after their road grading project caused water drainage issues affecting Hoover's property. The trial court found substantial evidence supporting the claim that the Warners' actions impeded the natural flow of water and damaged Hoover's property. Step 4: Testing and Debugging with Azure AI Foundry Playground After running your agent with Azure AI Agent SDK, the agent will be stored in your project, and you can experiment with the agent in the Agent playground. Using the Agent Playground: Navigate to the Agents section in Azure AI Foundry Find your agent in the list and click to open Use the playground interface to test various legal queries Test the query “Water leaking into the apartment from the floor above, What are the prominent legal precedents in Washington?”. The agent will pick the right tool to use and ask for the expected output for that query. Use sample_vector_search_cases_output.json as the sample output. Step 5: Debugging with Azure AI Foundry Tracing When developing the agent by using the Azure AI Foundry SDK, you can also debug the agent with Tracing. You will be able to debug the calls to tools like Postgres as well as seeing how to agent orchestrated each task. Debugging with Tracing: Click Tracing in the Azure AI Foundry menu Create a new Application Insights resource or connect an existing one View detailed traces of your agent's operations Learn more about how to set up tracing with the AI agent and Postgres in the advanced_postgres_and_ai_agent_with_tracing.py file on Github. Get Started Today By combining Azure Database for PostgreSQL with Azure AI Agent Service, developers can create intelligent agents that automate data retrieval, improve decision-making, and unlock powerful insights. Whether you're working on legal research, customer support, or data analytics, this setup provides a scalable and efficient solution to enhance your AI applications. Ready to build your own AI agent? Try building your own legal agent with Azure AI agent service and Postgres. 1. Setup Azure AI Foundry and Azure Database for PostgreSQL Flexible Server Setup up an AI Foundry Project and deploy models Deploy the “gpt-4o-mini” model and “text-embedding-small” models Setup Azure Database for PostgreSQL Flexible Server and pg_vector extension Allow the azure_ai extension 2. Run our end-to-end sample AI Agent using Azure Database for PostgreSQL tool 3. Customize for your use case: Replace legal data with your domain-specific information Adjust agent instructions for your specific needs Add additional tools as required Learn More Read more able Azure Database for PostgreSQL and the Azure AI Agent service. Learn more about Vector Search in Azure Database for PostgreSQL Learn more about Azure AI Agent Service
