diff --git a/.gitignore b/.gitignore
index d6a3789..c78e740 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,7 +1,7 @@
 .*.swp
 config/openedx/*.json
+config/openedx/*.sh
+config/mysql/*.env
 config/nginx/*.conf
 config/android/*.yaml
-mysql/config/database
-mysql/config/username
-mysql/config/password
+config/xqueue/*.py
diff --git a/Makefile b/Makefile
index 2c65570..efc826f 100644
--- a/Makefile
+++ b/Makefile
@@ -11,7 +11,7 @@ endif
 DOCKER_COMPOSE_RUN_LMS = $(DOCKER_COMPOSE_RUN_OPENEDX) -p 8000:8000 lms
 DOCKER_COMPOSE_RUN_CMS = $(DOCKER_COMPOSE_RUN_OPENEDX) -p 8001:8001 cms
 
-all: configure update migrate migrate-forum assets daemon
+all: configure update migrate assets daemon
 
 ##################### Bootstrapping
 
@@ -21,7 +21,10 @@ configure:
 update:
 	docker-compose pull
 
-migrate:
+provision:
+	$(DOCKER_COMPOSE_RUN_OPENEDX) lms bash /openedx/config/provision.sh
+
+migrate-openedx:
 	$(DOCKER_COMPOSE_RUN_OPENEDX) lms bash -c "wait-for-greenlight.sh && ./manage.py lms migrate"
 	$(DOCKER_COMPOSE_RUN_OPENEDX) cms bash -c "wait-for-greenlight.sh && ./manage.py cms migrate"
 
@@ -29,6 +32,11 @@ migrate-forum:
 	$(DOCKER_COMPOSE_RUN) forum bash -c "bundle exec rake search:initialize && \
 		bundle exec rake search:rebuild_index"
 
+migrate-xqueue:
+	$(DOCKER_COMPOSE_RUN) xqueue bash -c "./manage.py migrate"
+
+migrate: provision migrate-openedx migrate-forum migrate-xqueue
+
 assets:
 	$(DOCKER_COMPOSE_RUN_OPENEDX) lms paver update_assets lms --settings=$(EDX_PLATFORM_SETTINGS)
 	$(DOCKER_COMPOSE_RUN_OPENEDX) cms paver update_assets cms --settings=$(EDX_PLATFORM_SETTINGS)
@@ -90,11 +98,14 @@ build:
 	# We need to build with docker, as long as docker-compose cannot push to dockerhub
 	docker build -t regis/openedx:latest -t regis/openedx:ginkgo openedx/
 	docker build -t regis/openedx-forum:latest -t regis/openedx-forum:ginkgo forum/
+	docker build -t regis/openedx-xqueue:latest -t regis/openedx-xqueue:ginkgo xqueue/
 
 push:
 	docker push regis/openedx:ginkgo
 	docker push regis/openedx:latest
 	docker push regis/openedx-forum:ginkgo
 	docker push regis/openedx-forum:latest
+	docker push regis/openedx-xqueue:ginkgo
+	docker push regis/openedx-xqueue:latest
 
 dockerhub: build push
diff --git a/config/mysql/templates/auth.env.templ b/config/mysql/templates/auth.env.templ
new file mode 100644
index 0000000..8faa532
--- /dev/null
+++ b/config/mysql/templates/auth.env.templ
@@ -0,0 +1 @@
+MYSQL_ROOT_PASSWORD: ${MYSQL_PASSWORD}
diff --git a/config/openedx/templates/cms.auth.json.templ b/config/openedx/templates/cms.auth.json.templ
index 6505288..c043603 100644
--- a/config/openedx/templates/cms.auth.json.templ
+++ b/config/openedx/templates/cms.auth.json.templ
@@ -3,12 +3,11 @@
   "AWS_ACCESS_KEY_ID": "",
   "AWS_SECRET_ACCESS_KEY": "",
   "XQUEUE_INTERFACE": {
-    "basic_auth": ["edx", "edx"],
     "django_auth": {
-      "username": "lms",
-      "password": "password"
+      "username": "${XQUEUE_AUTH_USERNAME}",
+      "password": "${XQUEUE_AUTH_PASSWORD}"
     },
-    "url": "http://localhost:18040"
+    "url": "http://xqueue:8040"
   },
   "CONTENTSTORE": { 
     "ENGINE": "xmodule.contentstore.mongo.MongoContentStore",                       
diff --git a/config/openedx/templates/lms.auth.json.templ b/config/openedx/templates/lms.auth.json.templ
index 108b66b..9bfb456 100644
--- a/config/openedx/templates/lms.auth.json.templ
+++ b/config/openedx/templates/lms.auth.json.templ
@@ -3,12 +3,11 @@
   "AWS_ACCESS_KEY_ID": "",
   "AWS_SECRET_ACCESS_KEY": "",
   "XQUEUE_INTERFACE": {
-    "basic_auth": ["edx", "edx"],
     "django_auth": {
-      "username": "lms",
-      "password": "password"
+      "username": "${XQUEUE_AUTH_USERNAME}",
+      "password": "${XQUEUE_AUTH_PASSWORD}"
     },
-    "url": "http://localhost:18040"
+    "url": "http://xqueue:8040"
   },
   "CONTENTSTORE": { 
     "ENGINE": "xmodule.contentstore.mongo.MongoContentStore",                       
diff --git a/config/openedx/templates/provision.sh.templ b/config/openedx/templates/provision.sh.templ
new file mode 100755
index 0000000..453c008
--- /dev/null
+++ b/config/openedx/templates/provision.sh.templ
@@ -0,0 +1,5 @@
+mysql -u root --password="${MYSQL_PASSWORD}" --host "mysql" -e 'CREATE DATABASE IF NOT EXISTS ${MYSQL_DATABASE};'
+mysql -u root --password="${MYSQL_PASSWORD}" --host "mysql" -e 'GRANT ALL ON ${MYSQL_DATABASE}.* TO "${MYSQL_USERNAME}"@"%" IDENTIFIED BY "${MYSQL_PASSWORD}";'
+
+mysql -u root --password="${MYSQL_PASSWORD}" --host "mysql" -e 'CREATE DATABASE IF NOT EXISTS ${XQUEUE_MYSQL_DATABASE};'
+mysql -u root --password="${MYSQL_PASSWORD}" --host "mysql" -e 'GRANT ALL ON ${XQUEUE_MYSQL_DATABASE}.* TO "${XQUEUE_MYSQL_USERNAME}"@"%" IDENTIFIED BY "${XQUEUE_MYSQL_PASSWORD}";'
diff --git a/config/xqueue/templates/universal.py.templ b/config/xqueue/templates/universal.py.templ
new file mode 100644
index 0000000..2a8576b
--- /dev/null
+++ b/config/xqueue/templates/universal.py.templ
@@ -0,0 +1,25 @@
+from .settings import *
+
+DATABASES = {
+    'default': {
+        'ENGINE': 'django.db.backends.mysql',
+        'NAME': '${XQUEUE_MYSQL_DATABASE}',
+        'USER': '${XQUEUE_MYSQL_USERNAME}',
+        'PASSWORD': '${XQUEUE_MYSQL_PASSWORD}',
+        'HOST': 'mysql',
+    }
+}
+
+LOGGING = get_logger_config(
+    log_dir="/openedx/data/",
+    logging_env="universal",
+    dev_env=True,
+)
+
+RABBIT_HOST = 'rabbitmq'
+RABBIT_PORT = 5672
+SECRET_KEY = '${XQUEUE_SECRET_KEY}'
+
+XQUEUE_USERS = {
+    '${XQUEUE_AUTH_USERNAME}': '${XQUEUE_AUTH_PASSWORD}'
+}
diff --git a/configure b/configure
index 4bd886d..fb60275 100755
--- a/configure
+++ b/configure
@@ -25,10 +25,12 @@ class Configurator(object):
     def as_dict(self):
         return dict(self.__values)
 
-    def add(self, name, question, default=""):
+    def add(self, name, question="", default=""):
         default = self.__default_overrides.get(name, default)
-        message = question + " (default: \"{}\"): ".format(default)
-        value = self.ask(message, default)
+        value = default
+        if question:
+            message = question + " (default: \"{}\"): ".format(default)
+            value = self.ask(message, default)
         self.set(name, value)
 
         return self
@@ -116,19 +118,30 @@ def main():
         'LMS_HOST', "Your website domain name for students (LMS). Set 'localhost' for local testing.", 'www.myopenedx.com'
     ).add(
         'CMS_HOST', "Your website domain name for teachers (CMS). Set 'studio.localhost' for local testing.", 'studio.myopenedx.com'
-    ).add(
-        'SECRET_KEY', "Secret key -- if you don't know what this is, you can safely accept the default",
-        "".join([random.choice(string.ascii_letters + string.digits) for _ in range(24)])
     ).add(
         'PLATFORM_NAME', "Platform name/title", "My Open edX"
     ).add(
-        'MYSQL_DATABASE', "MySQL database name", 'openedx'
+        'SECRET_KEY', "", random_string(24)
     ).add(
-        'MYSQL_USERNAME', "MySQL database username", 'openedx'
+        'MYSQL_DATABASE', "", 'openedx'
     ).add(
-        'MYSQL_PASSWORD', "MySQL database password", 'password'
+        'MYSQL_USERNAME', "", 'openedx'
     ).add(
-        'MONGODB_DATABASE', "MongoDb database name", 'openedx'
+        'MYSQL_PASSWORD', "", random_string(8),
+    ).add(
+        'MONGODB_DATABASE', "", 'openedx'
+    ).add(
+        'XQUEUE_AUTH_USERNAME', "", 'lms'
+    ).add(
+        'XQUEUE_AUTH_PASSWORD', "", random_string(8),
+    ).add(
+        'XQUEUE_MYSQL_DATABASE', "", 'xqueue',
+    ).add(
+        'XQUEUE_MYSQL_USERNAME', "", 'xqueue',
+    ).add(
+        'XQUEUE_MYSQL_PASSWORD', "", random_string(8),
+    ).add(
+        'XQUEUE_SECRET_KEY', "", random_string(24),
     )
 
     # Save values
@@ -157,21 +170,23 @@ def main():
         os.path.join('config', 'openedx', 'cms.auth.json'),
         **configurator.as_dict()
     )
+    substitute(
+        os.path.join('config', 'openedx', 'templates', 'provision.sh.templ'),
+        os.path.join('config', 'openedx', 'provision.sh'),
+        **configurator.as_dict()
+    )
+
+    # Xqueue
+    substitute(
+        os.path.join('config', 'xqueue', 'templates', 'universal.py.templ'),
+        os.path.join('config', 'xqueue', 'universal.py'),
+        **configurator.as_dict()
+    )
 
     # MySQL
     substitute(
-        os.path.join('mysql', 'config', 'templates', 'username.templ'),
-        os.path.join('mysql', 'config', 'username'),
-        **configurator.as_dict()
-    )
-    substitute(
-        os.path.join('mysql', 'config', 'templates', 'password.templ'),
-        os.path.join('mysql', 'config', 'password'),
-        **configurator.as_dict()
-    )
-    substitute(
-        os.path.join('mysql', 'config', 'templates', 'database.templ'),
-        os.path.join('mysql', 'config', 'database'),
+        os.path.join('config', 'mysql', 'templates', 'auth.env.templ'),
+        os.path.join('config', 'mysql', 'auth.env'),
         **configurator.as_dict()
     )
 
@@ -199,5 +214,8 @@ def main():
     print("\nConfiguration files were successfuly generated. You may now run the app containers.")
 
 
+def random_string(length):
+    return "".join([random.choice(string.ascii_letters + string.digits) for _ in range(length)])
+
 if __name__ == '__main__':
     main()
diff --git a/data/.gitignore b/data/.gitignore
index 74f2870..ec8b969 100644
--- a/data/.gitignore
+++ b/data/.gitignore
@@ -7,3 +7,4 @@ elasticsearch/
 mysql/
 mongodb/
 rabbitmq/
+xqueue/
diff --git a/docker-compose.yml b/docker-compose.yml
index a57b500..c07c649 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -21,13 +21,7 @@ services:
     restart: unless-stopped
     volumes:
       - ./data/mysql:/var/lib/mysql
-      - ./mysql/config/:/etc/mysql/conf.d/openedx
-    environment:
-      # Load values from files generated by configurator
-      MYSQL_DATABASE_FILE: /etc/mysql/conf.d/openedx/database
-      MYSQL_USER_FILE: /etc/mysql/conf.d/openedx/username
-      MYSQL_PASSWORD_FILE: /etc/mysql/conf.d/openedx/password
-      MYSQL_ROOT_PASSWORD_FILE: /etc/mysql/conf.d/openedx/password
+    env_file: ./config/mysql/auth.env
 
   elasticsearch:
     image: elasticsearch:1.5.2
@@ -150,3 +144,28 @@ services:
       - ./data/cms_worker:/openedx/data
     depends_on:
       - cms
+
+  ############# Xqueue: external grading of Open edX problems
+  xqueue:
+    image: regis/openedx-xqueue:ginkgo
+    build:
+      context: ./xqueue
+    volumes:
+      - ./config/xqueue:/openedx/config
+      - ./data/xqueue:/openedx/data
+    restart: unless-stopped
+    depends_on:
+      - mysql
+
+  xqueue_consumer:
+    image: regis/openedx-xqueue:ginkgo
+    build:
+      context: ./xqueue
+    volumes:
+      - ./config/xqueue:/openedx/config
+      - ./data/xqueue:/openedx/data
+    restart: unless-stopped
+    # Run 12 workers per queue
+    command: ./manage.py run_consumer 12
+    depends_on:
+      - mysql
diff --git a/mysql/config/templates/database.templ b/mysql/config/templates/database.templ
deleted file mode 100644
index 4e54088..0000000
--- a/mysql/config/templates/database.templ
+++ /dev/null
@@ -1 +0,0 @@
-${MYSQL_DATABASE}
diff --git a/mysql/config/templates/password.templ b/mysql/config/templates/password.templ
deleted file mode 100644
index ee16543..0000000
--- a/mysql/config/templates/password.templ
+++ /dev/null
@@ -1 +0,0 @@
-${MYSQL_PASSWORD}
diff --git a/mysql/config/templates/username.templ b/mysql/config/templates/username.templ
deleted file mode 100644
index 24e45d6..0000000
--- a/mysql/config/templates/username.templ
+++ /dev/null
@@ -1 +0,0 @@
-${MYSQL_USERNAME}
diff --git a/openedx/Dockerfile b/openedx/Dockerfile
index b78bf08..1f759c4 100644
--- a/openedx/Dockerfile
+++ b/openedx/Dockerfile
@@ -8,7 +8,7 @@ RUN apt update && \
   # Global requirements
   apt install -y language-pack-en git python-virtualenv build-essential software-properties-common curl git-core libxml2-dev libxslt1-dev python-pip libmysqlclient-dev python-apt python-dev libxmlsec1-dev libfreetype6-dev swig gcc g++ && \
   # openedx requirements
-  apt install -y gettext gfortran graphviz graphviz-dev libffi-dev libfreetype6-dev libgeos-dev libjpeg8-dev liblapack-dev libpng12-dev libxml2-dev libxmlsec1-dev libxslt1-dev nodejs npm ntp pkg-config && \
+  apt install -y gettext gfortran libffi-dev libfreetype6-dev libgeos-dev libjpeg8-dev liblapack-dev libpng12-dev libxml2-dev libxmlsec1-dev libxslt1-dev nodejs npm ntp pkg-config && \
   # Our requirements
   apt install -y mysql-client
 
diff --git a/xqueue/Dockerfile b/xqueue/Dockerfile
new file mode 100644
index 0000000..a9ef759
--- /dev/null
+++ b/xqueue/Dockerfile
@@ -0,0 +1,18 @@
+FROM ubuntu:16.04
+
+RUN apt update && \
+  apt upgrade -y && \
+  apt install -y language-pack-en git git-core python-pip libmysqlclient-dev
+
+RUN mkdir /openedx
+RUN git clone https://github.com/edx/xqueue --branch open-release/ginkgo.master --depth 1 /openedx/xqueue 
+WORKDIR /openedx/xqueue
+
+RUN pip install -r pre-requirements.txt
+RUN pip install -r requirements.txt
+
+ENV DJANGO_SETTINGS_MODULE xqueue.universal
+RUN ln -s /openedx/config/universal.py xqueue/universal.py
+
+EXPOSE 8040
+CMD gunicorn --name xqueue --bind=0.0.0.0:8040 --max-requests=1000 xqueue.wsgi:application