diff --git a/puppet/zulip/files/nginx/zulip-include-app.d/camo.conf b/puppet/zulip/files/nginx/zulip-include-app.d/camo.conf
new file mode 100644
index 0000000000..f9b34c20f5
--- /dev/null
+++ b/puppet/zulip/files/nginx/zulip-include-app.d/camo.conf
@@ -0,0 +1,7 @@
+# Proxies /external_content to a local installation of the camo image
+# proxy software
+location /external_content {
+    rewrite /external_content/(.*) /$1 break;
+    proxy_pass http://camo;
+    include /etc/nginx/zulip-include/proxy;
+}
diff --git a/puppet/zulip/files/nginx/zulip-include-frontend/upstreams b/puppet/zulip/files/nginx/zulip-include-frontend/upstreams
index ebe9681a86..c46d20b948 100644
--- a/puppet/zulip/files/nginx/zulip-include-frontend/upstreams
+++ b/puppet/zulip/files/nginx/zulip-include-frontend/upstreams
@@ -10,3 +10,7 @@ upstream tornado {
 upstream localhost_sso {
     server localhost:8888;
 }
+
+upstream camo {
+    server localhost:9292;
+}
diff --git a/puppet/zulip/manifests/localhost_camo.pp b/puppet/zulip/manifests/localhost_camo.pp
new file mode 100644
index 0000000000..33c824283b
--- /dev/null
+++ b/puppet/zulip/manifests/localhost_camo.pp
@@ -0,0 +1,14 @@
+class zulip::localhost_camo {
+  include zulip::camo
+
+  # Install nginx configuration to run camo locally
+  file { "/etc/nginx/zulip-include/app.d/camo.conf":
+    require => Package["nginx-full"],
+    ensure => file,
+    owner  => "root",
+    group  => "root",
+    mode => 644,
+    notify => Service["nginx"],
+    source => "puppet:///modules/zulip/nginx/zulip-include-app.d/camo.conf",
+  }
+}
diff --git a/puppet/zulip/manifests/voyager.pp b/puppet/zulip/manifests/voyager.pp
index 5b96975005..911cdc6d0c 100644
--- a/puppet/zulip/manifests/voyager.pp
+++ b/puppet/zulip/manifests/voyager.pp
@@ -17,4 +17,5 @@ class zulip::voyager {
   include zulip::memcached
   include zulip::rabbit
   include zulip::redis
+  include zulip::localhost_camo
 }
diff --git a/scripts/lib/install b/scripts/lib/install
index e3abb59ff6..782f315b90 100755
--- a/scripts/lib/install
+++ b/scripts/lib/install
@@ -42,6 +42,12 @@ fi
 cp -a /root/zulip/zproject/local_settings_template.py /etc/zulip/settings.py
 ln -nsf /etc/zulip/settings.py /root/zulip/zproject/local_settings.py
 
+# Restart camo since generate_secrets.py likely replaced its secret key
+if [ -z "$TRAVIS" ]; then
+    # We don't run this in Travis CI due to a weird hang bug
+    service camo restart
+fi
+
 if ! rabbitmqctl status >/dev/null; then
     set +x
     echo; echo "RabbitMQ seems to not have started properly after the installation process."
diff --git a/tools/travis/production-helper b/tools/travis/production-helper
index 517bd193a1..fbad403c73 100755
--- a/tools/travis/production-helper
+++ b/tools/travis/production-helper
@@ -18,7 +18,7 @@ apt-get update
 apt-mark hold initramfs-tools initramfs-tools-bin oracle-java8-installer udev linux-image-3.19.0-28-generic linux-image-generic-lts-vivid base-files linux-firmware chromium-browser google-chrome-stable g++-4.8 gcc-4.8 cpp-4.8 openjdk-6-jre-headless openjdk-7-jre-headless
 apt-get upgrade -y $APT_OPTIONS
 # Install Zulip
-/root/zulip/scripts/setup/install
+env TRAVIS=1 /root/zulip/scripts/setup/install
 
 cat >>/etc/zulip/settings.py <<EOF
 # Travis CI override settings above
diff --git a/zproject/local_settings_template.py b/zproject/local_settings_template.py
index bc6cce0b33..5f332be16d 100644
--- a/zproject/local_settings_template.py
+++ b/zproject/local_settings_template.py
@@ -300,7 +300,10 @@ AUTH_LDAP_USER_ATTR_MAP = {
     "full_name": "cn",
 }
 
-CAMO_URI = ''
+# The default CAMO_URI of '/external_content/' is served by the camo
+# setup in the default Voyager nginx configuration.  Setting CAMO_URI
+# to '' will disable the Camo integration.
+CAMO_URI = '/external_content/'
 
 # RabbitMQ configuration
 #
diff --git a/zproject/settings.py b/zproject/settings.py
index a49ede5eb6..c1ed1d7eff 100644
--- a/zproject/settings.py
+++ b/zproject/settings.py
@@ -98,6 +98,8 @@ else:
     NEW_USER_BOT = "new-user-bot@zulip.com"
     EMAIL_GATEWAY_BOT = "emailgateway@zulip.com"
     EXTRA_INSTALLED_APPS = ["zilencer", "analytics"]
+    # Disable Camo in development
+    CAMO_URI = ''
 
 ########################################################################
 # DEFAULT VALUES FOR SETTINGS
diff --git a/zproject/test_settings.py b/zproject/test_settings.py
index e4f767564b..5028d92b0f 100644
--- a/zproject/test_settings.py
+++ b/zproject/test_settings.py
@@ -13,9 +13,13 @@ DATABASES["default"] = {"NAME": "zulip_test",
 
 
 if "TORNADO_SERVER" in os.environ:
+    # This covers the Casper test suite case
     TORNADO_SERVER = os.environ["TORNADO_SERVER"]
 else:
+    # This covers the backend test suite case
     TORNADO_SERVER = None
+    CAMO_URI = 'https://external-content.zulipcdn.net/'
+    CAMO_KEY = 'dummy'
 
 # Decrease the get_updates timeout to 1 second.
 # This allows CasperJS to proceed quickly to the next test step.
@@ -54,7 +58,4 @@ CACHES['database'] = {
 LOGGING['loggers']['zulip.requests']['level'] = 'CRITICAL'
 LOGGING['loggers']['zulip.management']['level'] = 'CRITICAL'
 
-CAMO_URI = 'https://external-content.zulipcdn.net/'
-CAMO_KEY = 'dummy'
-
 LOCAL_UPLOADS_DIR = 'test_uploads'