diff --git a/openerp/addons/base/ir/ir_translation.py b/openerp/addons/base/ir/ir_translation.py
index 2e47c8f5edf..4eea6f07592 100644
--- a/openerp/addons/base/ir/ir_translation.py
+++ b/openerp/addons/base/ir/ir_translation.py
@@ -239,25 +239,25 @@ class ir_translation(osv.osv):
     def _auto_init(self, cr, context=None):
         super(ir_translation, self)._auto_init(cr, context)
 
-        # FIXME: there is a size limit on btree indexed values so we can't index src column with normal btree.
-        cr.execute('SELECT indexname FROM pg_indexes WHERE indexname = %s', ('ir_translation_ltns',))
-        if cr.fetchone():
-            #temporarily removed: cr.execute('CREATE INDEX ir_translation_ltns ON ir_translation (name, lang, type, src)')
-            cr.execute('DROP INDEX ir_translation_ltns')
-            cr.commit()
-        cr.execute('SELECT indexname FROM pg_indexes WHERE indexname = %s', ('ir_translation_lts',))
-        if cr.fetchone():
-            #temporarily removed: cr.execute('CREATE INDEX ir_translation_lts ON ir_translation (lang, type, src)')
-            cr.execute('DROP INDEX ir_translation_lts')
+        cr.execute("SELECT indexname FROM pg_indexes WHERE indexname LIKE 'ir_translation_%'")
+        indexes = [row[0] for row in cr.fetchall()]
+
+        # Removed because there is a size limit on btree indexed values (problem with column src):
+        # cr.execute('CREATE INDEX ir_translation_ltns ON ir_translation (name, lang, type, src)')
+        # cr.execute('CREATE INDEX ir_translation_lts ON ir_translation (lang, type, src)')
+        #
+        # Removed because hash indexes are not compatible with postgres streaming replication:
+        # cr.execute('CREATE INDEX ir_translation_src_hash_idx ON ir_translation USING hash (src)')
+        if set(indexes) & set(['ir_translation_ltns', 'ir_translation_lts', 'ir_translation_src_hash_idx']):
+            cr.execute('DROP INDEX IF EXISTS ir_translation_ltns, ir_translation_lts, ir_translation_src_hash_idx')
             cr.commit()
 
-        # add separate hash index on src (no size limit on values), as postgres 8.1+ is able to combine separate indexes
-        cr.execute('SELECT indexname FROM pg_indexes WHERE indexname = %s', ('ir_translation_src_hash_idx',))
-        if not cr.fetchone():
-            cr.execute('CREATE INDEX ir_translation_src_hash_idx ON ir_translation using hash (src)')
+        # Add separate md5 index on src (no size limit on values, and good performance).
+        if 'ir_translation_src_md5' not in indexes:
+            cr.execute('CREATE INDEX ir_translation_src_md5 ON ir_translation (md5(src))')
+            cr.commit()
 
-        cr.execute('SELECT indexname FROM pg_indexes WHERE indexname = %s', ('ir_translation_ltn',))
-        if not cr.fetchone():
+        if 'ir_translation_ltn' not in indexes:
             cr.execute('CREATE INDEX ir_translation_ltn ON ir_translation (name, lang, type)')
             cr.commit()
 
@@ -304,12 +304,15 @@ class ir_translation(osv.osv):
 
     def _get_source_query(self, cr, uid, name, types, lang, source, res_id):
         if source:
+            # Note: the extra test on md5(src) is a hint for postgres to use the
+            # index ir_translation_src_md5
             query = """SELECT value
                        FROM ir_translation
                        WHERE lang=%s
                         AND type in %s
-                        AND src=%s"""
-            params = (lang or '', types, tools.ustr(source))
+                        AND src=%s AND md5(src)=md5(%s)"""
+            source = tools.ustr(source)
+            params = (lang or '', types, source, source)
             if res_id:
                 query += " AND res_id=%s"
                 params += (res_id,)
diff --git a/openerp/tools/translate.py b/openerp/tools/translate.py
index 42e9b05cdba..127fdb47bd7 100644
--- a/openerp/tools/translate.py
+++ b/openerp/tools/translate.py
@@ -151,11 +151,11 @@ csv.register_dialect("UNIX", UNIX_LINE_TERMINATOR)
 #
 def translate(cr, name, source_type, lang, source=None):
     if source and name:
-        cr.execute('select value from ir_translation where lang=%s and type=%s and name=%s and src=%s', (lang, source_type, str(name), source))
+        cr.execute('select value from ir_translation where lang=%s and type=%s and name=%s and src=%s and md5(src)=md5(%s)', (lang, source_type, str(name), source, source))
     elif name:
         cr.execute('select value from ir_translation where lang=%s and type=%s and name=%s', (lang, source_type, str(name)))
     elif source:
-        cr.execute('select value from ir_translation where lang=%s and type=%s and src=%s', (lang, source_type, source))
+        cr.execute('select value from ir_translation where lang=%s and type=%s and src=%s and md5(src)=md5(%s)', (lang, source_type, source, source))
     res_trans = cr.fetchone()
     res = res_trans and res_trans[0] or False
     return res