docs: Update development setup with preferred kind-based approach

For a long time, we discussed how unreliable / clunky it is to use the
Vagrant-based development setup. It is a massive struggle for new
contributors as well.

Many developers hacked their own scripts to make it work, and even more
avoid using it altogether. Many in the community including myself use
kind already. It is simply much easier to set up and maintain, without
being a drain on your local machine in terms of resources.

Let's finally document what many in the community have already been
running.

Signed-off-by: Chris Tarazi <chris@isovalent.com>

Documentation/contributing/development/dev_setup.rst

@@ -82,6 +82,50 @@ Finally, in order to run Cilium locally on VMs, you need:
 | `VirtualBox <https://www.virtualbox.org/wiki/Downloads>`_  | >= 5.2                | N/A (OS-specific)                                                              |
 +------------------------------------------------------------+-----------------------+--------------------------------------------------------------------------------+
 
+Kind-based Setup (preferred)
+~~~~~~~~~~~~~~~~~~~~~~~~~~~~
+
+You can find the setup for a `kind <https://kind.sigs.k8s.io/>`_ environment in
+``contrib/scripts/kind.sh``. This setup doesn't require any VMs and/or
+VirtualBox on Linux, but does require `Docker for Mac
+<https://docs.docker.com/desktop/install/mac-install/>`_ for Mac OS.
+
+Makefile targets automate the task of spinning up an environment and building
+Cilium images:
+
+* ``make kind``: Creates a kind cluster based on the configuration passed in.
+  For more information, see _`Configuration for clusters`.
+* ``make kind-image``: Builds all Cilium images and loads them into the
+  cluster.
+* ``make kind-image-agent``: Builds the Cilium Agent image only and loads it
+  into the cluster.
+* ``make kind-image-operator``: Builds the Cilium Operator (generic) image only
+  and loads it into the cluster.
+* ``make kind-image-debug``: Builds all Cilium images with optimizations
+  disabled and ``dlv`` embedded for live debugging enabled and loads the images
+  into the cluster.
+* ``make kind-install-cilium``: Installs Cilium into the cluster using the
+  Cilium CLI.
+* ``make kind-down``: Tears down and deletes the cluster.
+
+The preceding list includes the most used commands for convenience. For more
+targets, see the ``Makefile``.
+
+Configuration for clusters
+^^^^^^^^^^^^^^^^^^^^^^^^^^
+
+``make kind`` takes a few environment variables to modify the configuration of
+the clusters it creates. The following parameters are the most commonly used:
+
+* ``CONTROLPLANES``: How many control-plane nodes are created.
+* ``WORKERS``: How many worker nodes are created.
+* ``CLUSTER_NAME``: The name of the Kubernetes cluster.
+* ``IMAGE``: The image for kind, for example: ``kindest/node:v1.11.10``.
+* ``KUBEPROXY_MODE``: Pass directly as ``kubeProxyMode`` to the kind
+  configuration Custom Resource Definition (CRD).
+
+For more environment variables, see ``contrib/scripts/kind.sh``.
+
 Vagrant Setup
 ~~~~~~~~~~~~~