diff --git a/docker/dev/Dockerfile b/docker/dev/Dockerfile
new file mode 100644
index 00000000..e4baeea3
--- /dev/null
+++ b/docker/dev/Dockerfile
@@ -0,0 +1,21 @@
+# use latest python alphine image.
+FROM python:rc-alpine3.12
+
+# install system dependencies.
+RUN apk update && apk add --no-cache \
+  gcc libc-dev g++ graphviz git bash go imagemagick inkscape
+
+# install go package.
+RUN go get github.com/mingrammer/round
+
+# add go bin to path.
+ENV PATH "$PATH:/root/go/bin"
+
+# project directory.
+WORKDIR /usr/src/diagrams
+
+# Copy the rest of your app's source code from your host to your image filesystem.
+COPY . .
+
+# install python requirements.
+RUN pip install -r ./docker/dev/requirements.txt
diff --git a/docker/dev/requirements.txt b/docker/dev/requirements.txt
new file mode 100644
index 00000000..294444f1
--- /dev/null
+++ b/docker/dev/requirements.txt
@@ -0,0 +1,2 @@
+diagrams
+black
\ No newline at end of file
diff --git a/docker/dev/setup.txt b/docker/dev/setup.txt
new file mode 100644
index 00000000..08bea4bd
--- /dev/null
+++ b/docker/dev/setup.txt
@@ -0,0 +1,19 @@
+Docker local development setup.
+
+1. Go to diagrams project directory.
+
+2. Build the docker image: 
+docker build --tag diagrams:1.0 -f ./docker/dev/Dockerfile .
+
+3. Run the container in background and mount the project source: 
+docker run -d \
+-it \
+--name diagrams \
+--mount type=bind,source="$(pwd)",target=/usr/src/diagrams \
+diagrams:1.0
+
+4. Run unit tests in the host using the container: 
+docker exec diagrams python -m unittest tests/*.py -v
+
+5. Run autogen.sh: 
+docker exec diagrams ./autogen.sh