Three out of 24 Indian crew members on board a commercial vessel that came under attack off the coast of Oman on Wednesday are missing, with India strongly condemning the strike.

In its reaction, New Delhi said the targeting of commercial shipping and civilian infrastructure in West Asia must end, and free and unimpeded navigation through the international waterways should be restored at the earliest.

The attack on commercial vessel Settebello came two days after a Palao-flagged vessel with 24 Indians came under attack of the US Navy as the ship tried to evade the US blockade of Iranian ports.

"We condemn the attack on the commercial vessel Settebello off the coast of Oman, earlier today. Of the 24 Indian crew onboard, 21 Indians have been rescued thus far and three Indians are reportedly missing," the Ministry of External Affairs (MEA) said.

It said the Indian embassy in Oman is closely monitoring the situation and proactively coordinating with the local authorities in the ongoing search and rescue operation.

"The continuing incidents of attacks on shipping in the region are deeply worrisome and a direct result of the ongoing conflict in the region," the MEA said.

"We reiterate our call for immediate de-escalation of tensions, and the conclusion of ongoing negotiations for a diplomatic solution so that peace and stability can return to the region," it said.

The UKMTO, a British military organisation that tracks movements of various vessels in strategic waterways, said the vessel reported one casualty and two missing.

Local authorities have reported a tanker has experienced a fire in their engine room, it said.

The MEA said "targeting of commercial shipping and civilian infrastructure in the region must end, and free and unimpeded navigation and commerce through the international waterways in the region in keeping with international law must be restored at the earliest".

The incident came amid renewed hostilities between Iran and Israel.

Israel carried out air strikes in western and central Iran after Iran fired missiles at northern Israel.