How to integrate Zoho inventory MCP with LlamaIndex

This guide walks you through connecting Zoho inventory to LlamaIndex using the Composio tool router. By the end, you'll have a working Zoho inventory agent that can check current stock for a specific item, list all pending sales orders today, create a new purchase order for supplier through natural language commands. This guide will help you understand how to give your LlamaIndex agent real control over a Zoho inventory account through Composio's Zoho inventory MCP server. Before we dive in, let's take a quick look at the key ideas and tools involved.

Zoho inventory logoZoho inventory
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Zoho Inventory is a cloud-based inventory and order management solution for businesses. It streamlines stock tracking, order fulfillment, and multi-channel inventory control.

58 Tools

Introduction

This guide walks you through connecting Zoho inventory to LlamaIndex using the Composio tool router. By the end, you'll have a working Zoho inventory agent that can check current stock for a specific item, list all pending sales orders today, create a new purchase order for supplier through natural language commands.

This guide will help you understand how to give your LlamaIndex agent real control over a Zoho inventory account through Composio's Zoho inventory MCP server.

Before we dive in, let's take a quick look at the key ideas and tools involved.

Also integrate Zoho inventory with

TL;DR

Here's what you'll learn:
  • Set your OpenAI and Composio API keys
  • Install LlamaIndex and Composio packages
  • Create a Composio Tool Router session for Zoho inventory
  • Connect LlamaIndex to the Zoho inventory MCP server
  • Build a Zoho inventory-powered agent using LlamaIndex
  • Interact with Zoho inventory through natural language

What is LlamaIndex?

LlamaIndex is a data framework for building LLM applications. It provides tools for connecting LLMs to external data sources and services through agents and tools.

Key features include:

  • ReAct Agent: Reasoning and acting pattern for tool-using agents
  • MCP Tools: Native support for Model Context Protocol
  • Context Management: Maintain conversation context across interactions
  • Async Support: Built for async/await patterns

What is the Zoho inventory MCP server, and what's possible with it?

The Zoho inventory MCP server is an implementation of the Model Context Protocol that connects your AI agent and assistants like Claude, Cursor, etc directly to your Zoho Inventory account. It provides structured and secure access to your inventory management system, so your agent can perform actions like tracking stock levels, managing sales and purchase orders, updating product details, and syncing inventory across sales channels on your behalf.

  • Real-time stock tracking and updates: Let your agent monitor inventory levels, adjust quantities, and receive alerts when items are running low or out of stock.
  • Order management automation: Have the agent create, update, or track sales and purchase orders, making it easy to keep tabs on every transaction.
  • Product catalog management: Direct your agent to add new products, update existing details, or manage pricing and SKU information to keep your catalog current and accurate.
  • Multi-channel inventory syncing: Enable your agent to synchronize inventory data across multiple online stores and marketplaces, ensuring consistency and reducing errors.
  • Shipment and fulfillment handling: Empower your agent to generate shipment orders, track deliveries, and manage warehouse operations for streamlined fulfillment.

What is the Composio tool router, and how does it fit here?

What is Composio SDK?

Composio's Composio SDK helps agents find the right tools for a task at runtime. You can plug in multiple toolkits (like Gmail, HubSpot, and GitHub), and the agent will identify the relevant app and action to complete multi-step workflows. This can reduce token usage and improve the reliability of tool calls. Read more here: Getting started with Composio SDK

The tool router generates a secure MCP URL that your agents can access to perform actions.

How the Composio SDK works

The Composio SDK follows a three-phase workflow:

  1. Discovery: Searches for tools matching your task and returns relevant toolkits with their details.
  2. Authentication: Checks for active connections. If missing, creates an auth config and returns a connection URL via Auth Link.
  3. Execution: Executes the action using the authenticated connection.

Step-by-step Guide

Step by step10 STEPS
1

Prerequisites

Before you begin, make sure you have:
  • Python 3.8/Node 16 or higher installed
  • A Composio account with the API key
  • An OpenAI API key
  • A Zoho inventory account and project
  • Basic familiarity with async Python/Typescript
2

Getting API Keys for OpenAI, Composio, and Zoho inventory

OpenAI API key (OPENAI_API_KEY)
  • Go to the OpenAI dashboard
  • Create an API key if you don't have one
  • Assign it to OPENAI_API_KEY in .env
Composio API key and user ID
  • Log into the Composio dashboard
  • Copy your API key from Settings
    • Use this as COMPOSIO_API_KEY
  • Pick a stable user identifier (email or ID)
    • Use this as COMPOSIO_USER_ID
3

Installing dependencies

npm install @composio/llamaindex @llamaindex/openai @llamaindex/tools @llamaindex/workflow dotenv

Create a new Typescript project and install the necessary dependencies:

  • @composio/llamaindex: Composio's LlamaIndex integration
  • @llamaindex/openai: OpenAI LLM integration
  • @llamaindex/tools: MCP client for LlamaIndex
  • @llamaindex/workflow: Workflow framework for LlamaIndex
  • dotenv: Environment variable management
4

Set environment variables

bash
OPENAI_API_KEY=your-openai-api-key
COMPOSIO_API_KEY=your-composio-api-key
COMPOSIO_USER_ID=your-user-id

Create a .env file in your project root:

These credentials will be used to:

  • Authenticate with OpenAI's GPT-5 model
  • Connect to Composio's Tool Router
  • Identify your Composio user session for Zoho inventory access
5

Import modules

import "dotenv/config";
import readline from "node:readline/promises";
import { stdin as input, stdout as output } from "node:process";

import { Composio } from "@composio/core";

import { mcp } from "@llamaindex/tools";
import { agent as createAgent } from "@llamaindex/workflow";
import { openai } from "@llamaindex/openai";

dotenv.config();

Create a new file called zoho inventory_llamaindex_agent.ts and import the required modules:

Key imports:

  • dotenv.config loads .env at runtime
  • readline gives us a simple CLI chat loop
  • Composio is the main Composio SDK client
  • mcp connects to an MCP endpoint
  • createAgent builds a LlamaIndex agent
  • openai configures the LLM backend
6

Load environment variables and initialize Composio

const OPENAI_API_KEY = process.env.OPENAI_API_KEY;
const COMPOSIO_API_KEY = process.env.COMPOSIO_API_KEY;
const COMPOSIO_USER_ID = process.env.COMPOSIO_USER_ID;

if (!OPENAI_API_KEY) throw new Error("OPENAI_API_KEY is not set");
if (!COMPOSIO_API_KEY) throw new Error("COMPOSIO_API_KEY is not set");
if (!COMPOSIO_USER_ID) throw new Error("COMPOSIO_USER_ID is not set");

What's happening:

This ensures missing credentials cause early, clear errors before the agent attempts to initialise.

7

Create a Tool Router session and build the agent function

async function buildAgent() {

  console.log(`Initializing Composio client...${COMPOSIO_USER_ID!}...`);
  console.log(`COMPOSIO_USER_ID: ${COMPOSIO_USER_ID!}...`);

  const composio = new Composio({
    apiKey: COMPOSIO_API_KEY,
    provider: new LlamaindexProvider(),
  });

  const session = await composio.create(
    COMPOSIO_USER_ID!,
    {
      toolkits: ["zoho_inventory"],
    },
  );

  const mcpUrl = session.mcp.url;
  console.log(`Composio Tool Router MCP URL: ${mcpUrl}`);

  const server = mcp({
    url: mcpUrl,
    clientName: "composio_tool_router_with_llamaindex",
    requestInit: {
      headers: {
        "x-api-key": COMPOSIO_API_KEY!,
      },
    },
    // verbose: true,
  });

  const tools = await server.tools();

  const llm = openai({ apiKey: OPENAI_API_KEY, model: "gpt-5" });

  const agent = createAgent({
    name: "composio_tool_router_with_llamaindex",
        description : "An agent that uses Composio Tool Router MCP tools to perform actions.",
    systemPrompt:
      "You are a helpful assistant connected to Composio Tool Router."+
"Use the available tools to answer user queries and perform Zoho inventory actions." ,
    llm,
    tools,
  });

  return agent;
}

What's happening here:

  • We create a Composio client using your API key and configure it with the LlamaIndex provider
  • We then create a tool router MCP session for your user, specifying the toolkits we want to use (in this case, zoho inventory)
  • The session returns an MCP HTTP endpoint URL that acts as a gateway to all your configured tools
  • LlamaIndex will connect to this endpoint to dynamically discover and use the available Zoho inventory tools.
  • The MCP tools are mapped to LlamaIndex-compatible tools and plug them into the Agent.
8

Create an interactive chat loop

async function chatLoop(agent: ReturnType<typeof createAgent>) {
  const rl = readline.createInterface({ input, output });

  console.log("Type 'quit' or 'exit' to stop.");

  while (true) {
    let userInput: string;

    try {
      userInput = (await rl.question("\nYou: ")).trim();
    } catch {
      console.log("\nAgent: Bye!");
      break;
    }

    if (!userInput) {
      continue;
    }

    const lower = userInput.toLowerCase();
    if (lower === "quit" || lower === "exit") {
      console.log("Agent: Bye!");
      break;
    }

    try {
      process.stdout.write("Agent: ");

      const stream = agent.runStream(userInput);
      let finalResult: any = null;

      for await (const event of stream) {
        // The event.data contains the streamed content
        const data: any = event.data;

        // Check for streaming delta content
        if (data?.delta) {
          process.stdout.write(data.delta);
        }

        // Store final result for fallback
        if (data?.result || data?.message) {
          finalResult = data;
        }
      }

      // If no streaming happened, show the final result
      if (finalResult) {
        const answer =
          finalResult.result ??
          finalResult.message?.content ??
          finalResult.message ??
          "";
        if (answer && typeof answer === "string" && !answer.includes("[object")) {
          process.stdout.write(answer);
        }
      }

      console.log(); // New line after streaming completes
    } catch (err: any) {
      console.error("\nAgent error:", err?.message ?? err);
    }
  }

  rl.close();
}

What's happening:

  • We're creating a direct terminal interface to chat with Zoho inventory
  • The LLM's responses are streamed to the CLI for faster interaction.
  • The agent uses context to maintain conversation history
  • The agent processes the request, selects appropriate Zoho inventory tools, and returns a result
  • We extract the answer from the result data structure and display it to the user
  • You can type 'quit' or 'exit' to stop the chat loop gracefully
  • Agent responses and any errors are streamed in a clear, readable format
9

Define the main entry point

async function main() {
  try {
    const agent = await buildAgent();
    await chatLoop(agent);
  } catch (err) {
    console.error("Failed to start agent:", err);
    process.exit(1);
  }
}

main();

What's happening here:

  • We're orchestrating the entire application flow
  • The agent gets built with proper error handling
  • Then we kick off the interactive chat loop so you can start talking to Zoho inventory
10

Run the agent

npx ts-node llamaindex-agent.ts

When prompted, authenticate and authorise your agent with Zoho inventory, then start asking questions.

Complete Code

Here's the complete code to get you started with Zoho inventory and LlamaIndex:

import "dotenv/config";
import readline from "node:readline/promises";
import { stdin as input, stdout as output } from "node:process";

import { Composio } from "@composio/core";
import { LlamaindexProvider } from "@composio/llamaindex";

import { mcp } from "@llamaindex/tools";
import { agent as createAgent } from "@llamaindex/workflow";
import { openai } from "@llamaindex/openai";

dotenv.config();

const OPENAI_API_KEY = process.env.OPENAI_API_KEY;
const COMPOSIO_API_KEY = process.env.COMPOSIO_API_KEY;
const COMPOSIO_USER_ID = process.env.COMPOSIO_USER_ID;

if (!OPENAI_API_KEY) {
    throw new Error("OPENAI_API_KEY is not set in the environment");
  }
if (!COMPOSIO_API_KEY) {
    throw new Error("COMPOSIO_API_KEY is not set in the environment");
  }
if (!COMPOSIO_USER_ID) {
    throw new Error("COMPOSIO_USER_ID is not set in the environment");
  }

async function buildAgent() {

  console.log(`Initializing Composio client...${COMPOSIO_USER_ID!}...`);
  console.log(`COMPOSIO_USER_ID: ${COMPOSIO_USER_ID!}...`);

  const composio = new Composio({
    apiKey: COMPOSIO_API_KEY,
    provider: new LlamaindexProvider(),
  });

  const session = await composio.create(
    COMPOSIO_USER_ID!,
    {
      toolkits: ["zoho_inventory"],
    },
  );

  const mcpUrl = session.mcp.url;
  console.log(`Composio Tool Router MCP URL: ${mcpUrl}`);

  const server = mcp({
    url: mcpUrl,
    clientName: "composio_tool_router_with_llamaindex",
    requestInit: {
      headers: {
        "x-api-key": COMPOSIO_API_KEY!,
      },
    },
    // verbose: true,
  });

  const tools = await server.tools();

  const llm = openai({ apiKey: OPENAI_API_KEY, model: "gpt-5" });

  const agent = createAgent({
    name: "composio_tool_router_with_llamaindex",
    description:
      "An agent that uses Composio Tool Router MCP tools to perform actions.",
    systemPrompt:
      "You are a helpful assistant connected to Composio Tool Router."+
"Use the available tools to answer user queries and perform Zoho inventory actions." ,
    llm,
    tools,
  });

  return agent;
}

async function chatLoop(agent: ReturnType<typeof createAgent>) {
  const rl = readline.createInterface({ input, output });

  console.log("Type 'quit' or 'exit' to stop.");

  while (true) {
    let userInput: string;

    try {
      userInput = (await rl.question("\nYou: ")).trim();
    } catch {
      console.log("\nAgent: Bye!");
      break;
    }

    if (!userInput) {
      continue;
    }

    const lower = userInput.toLowerCase();
    if (lower === "quit" || lower === "exit") {
      console.log("Agent: Bye!");
      break;
    }

    try {
      process.stdout.write("Agent: ");

      const stream = agent.runStream(userInput);
      let finalResult: any = null;

      for await (const event of stream) {
        // The event.data contains the streamed content
        const data: any = event.data;

        // Check for streaming delta content
        if (data?.delta) {
          process.stdout.write(data.delta);
        }

        // Store final result for fallback
        if (data?.result || data?.message) {
          finalResult = data;
        }
      }

      // If no streaming happened, show the final result
      if (finalResult) {
        const answer =
          finalResult.result ??
          finalResult.message?.content ??
          finalResult.message ??
          "";
        if (answer && typeof answer === "string" && !answer.includes("[object")) {
          process.stdout.write(answer);
        }
      }

      console.log(); // New line after streaming completes
    } catch (err: any) {
      console.error("\nAgent error:", err?.message ?? err);
    }
  }

  rl.close();
}

async function main() {
  try {
    const agent = await buildAgent();
    await chatLoop(agent);
  } catch (err: any) {
    console.error("Failed to start agent:", err?.message ?? err);
    process.exit(1);
  }
}

main();

Conclusion

You've successfully connected Zoho inventory to LlamaIndex through Composio's Tool Router MCP layer. Key takeaways:
  • Tool Router dynamically exposes Zoho inventory tools through an MCP endpoint
  • LlamaIndex's ReActAgent handles reasoning and orchestration; Composio handles integrations
  • The agent becomes more capable without increasing prompt size
  • Async Python provides clean, efficient execution of agent workflows
You can easily extend this to other toolkits like Gmail, Notion, Stripe, GitHub, and more by adding them to the toolkits parameter.
TOOLS

Supported Tools

Every Zoho inventory action and event your agent gets out of the box.

Add Credit Note Comment

Tool to add a comment to a credit note in Zoho Inventory.

Add Invoice Attachment

Tool to upload an attachment to a specific invoice.

Add Invoice Comment

Tool to add a comment to a specific invoice in Zoho Inventory.

Apply Credits To Invoices

Tool to apply credits from a credit note to one or more invoices.

Bulk Delete Sales Orders

Tool to bulk delete sales orders.

Bulk Email Invoices

Sends multiple invoices by email to a contact in a single API call.

Bulk Export Invoices

Tool to bulk export invoices as a single PDF.

Bulk Print Invoices

Generate a consolidated PDF containing multiple invoices for printing or archiving.

Bulk Print Packages

Tool to bulk print package slips as a consolidated PDF.

Cancel Invoice Write Off

Tool to cancel write off for an invoice.

Create Bill

Tool to create a bill in Zoho Inventory.

Create Contact

Tool to create a new contact (customer or vendor) in Zoho Inventory.

Create Contact Person

Tool to create a contact person.

Create Credit Note

Tool to create a new credit note in Zoho Inventory.

Create Customer Payment

Tool to create a customer payment in Zoho Inventory.

Create Invoice

Tool to create a new invoice in Zoho Inventory.

Create Item

Tool to create a new item in Zoho Inventory.

Create Item Group

Tool to create an item group in Zoho Inventory.

Create Package

Tool to create a package for a sales order in Zoho Inventory.

Create Purchase Order

Tool to create a purchase order in Zoho Inventory.

Create Sales Order

Tool to create a sales order in Zoho Inventory.

Deactivate Contact

Tool to mark a contact as inactive in Zoho Inventory.

Deactivate Item

Tool to mark an item as inactive in Zoho Inventory.

Deactivate Item Group

Tool to mark an item group as inactive in Zoho Inventory.

Delete Composite Item

Permanently deletes a composite item from Zoho Inventory.

Delete Contact

Tool to delete a contact.

Delete Contact Person

Tool to delete a contact person.

Delete Invoice

Tool to delete an invoice.

Delete Invoice Attachment

Tool to delete an invoice attachment.

Delete Invoice Comment

Delete a specific comment from an invoice in Zoho Inventory.

Delete Item

Tool to delete an item.

Delete Item Group

Tool to delete an item group.

Delete Item Image

Tool to delete an image associated with an item.

Delete Package

Tool to delete a package.

Delete Sales Order

Tool to delete a sales order.

Disable Payment Reminder

Tool to disable payment reminders for an invoice.

Email Contact

Tool to email a contact in Zoho Inventory.

Email Contact Statement

Tool to email a statement of transactions to a contact.

Email Credit Note

Tool to email a credit note to customers.

Email Invoice

Tool to email a specific invoice to customers.

Enable Invoice Payment Reminder

Tool to enable payment reminders for an invoice.

Get Contact

Tool to retrieve a specific contact by ID from Zoho Inventory.

Get Contact Address

Tool to get contact address.

Get Credit Note

Tool to retrieve a credit note by ID.

Get Credit Note Email Content

Tool to get credit note email content including subject, body, recipients, and available templates.

Get Current User

Tool to get details of the currently authenticated user in Zoho Inventory.

Get Sales Order

Tool to retrieve the details of an existing sales order.

List Bills

Tool to list bills.

List Contacts

Tool to list all contacts (customers and vendors) in Zoho Inventory.

List Credit Notes

Tool to list all credit notes.

List Currencies

Tool to list all currencies configured in Zoho Inventory.

List Invoice Payments

Tool to list all payments received for a specific invoice.

List Invoices

Tool to list all invoices in Zoho Inventory.

List Item Groups

Tool to list all item groups in Zoho Inventory.

List Items

Tool to list all items in Zoho Inventory.

List Organizations

Tool to list all organizations the user has access to in Zoho Inventory.

List Purchase Orders

Tool to list purchase orders.

List Sales Orders

Tool to list sales orders.

FAQ

Frequently asked questions

With a standalone Zoho inventory MCP server, the agents and LLMs can only access a fixed set of Zoho inventory tools tied to that server. However, with the Composio Tool Router, agents can dynamically load tools from Zoho inventory and many other apps based on the task at hand, all through a single MCP endpoint.

Yes, you can. LlamaIndex fully supports MCP integration. You get structured tool calling, message history handling, and model orchestration while Tool Router takes care of discovering and serving the right Zoho inventory tools.

Yes, absolutely. You can configure which Zoho inventory scopes and actions are allowed when connecting your account to Composio. You can also bring your own OAuth credentials or API configuration so you keep full control over what the agent can do.

All sensitive data such as tokens, keys, and configuration is fully encrypted at rest and in transit. Composio is SOC 2 Type 2 compliant and follows strict security practices so your Zoho inventory data and credentials are handled as safely as possible.

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