-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 JpYN1rcgvQJBfWrqyhEFNuB2lUqefNsgRgym0tDAkuLKqHWIxOtavbx84WgeiDyu
 pzbxmwiAifOhf10T9dSkkQ==

<SEC-DOCUMENT>0001179110-04-006407.txt : 20040322
<SEC-HEADER>0001179110-04-006407.hdr.sgml : 20040322
<ACCEPTANCE-DATETIME>20040322110918
ACCESSION NUMBER:		0001179110-04-006407
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20040318
FILED AS OF DATE:		20040322

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			OPTELECOM INC
		CENTRAL INDEX KEY:			0000275858
		STANDARD INDUSTRIAL CLASSIFICATION:	RADIO & TV BROADCASTING & COMMUNICATIONS EQUIPMENT [3663]
		IRS NUMBER:				521010850
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		9300 GAITHER RD
		CITY:			GAITHERSBURG
		STATE:			MD
		ZIP:			20877
		BUSINESS PHONE:		3018402121

	MAIL ADDRESS:	
		STREET 1:		9300 GAITHER RD
		CITY:			GAITHERSBURG
		STATE:			MD
		ZIP:			20877

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			FATZINGER WALTER R JR
		CENTRAL INDEX KEY:			0001212154

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-08828
		FILM NUMBER:		04681431

	BUSINESS ADDRESS:	
		STREET 1:		C/O MANTECH INTERNATIONAL CORP
		STREET 2:		12015 LEE JACKSON HIGHWAY
		CITY:			FAIRFAX
		STATE:			VA
		ZIP:			22033
		BUSINESS PHONE:		7032186000

	MAIL ADDRESS:	
		STREET 1:		12015 LEE JACKSON HIGHWAY
		CITY:			FAIRFAX
		STATE:			VA
		ZIP:			22033
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>edgar.xml
<DESCRIPTION>FORM 4 -
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0201</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2004-03-18</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000275858</issuerCik>
        <issuerName>OPTELECOM INC</issuerName>
        <issuerTradingSymbol>OPTC</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001212154</rptOwnerCik>
            <rptOwnerName>FATZINGER WALTER R JR</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>3452 CONSTELLATION DR.</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>DAVIDSONVILLE</rptOwnerCity>
            <rptOwnerState>MD</rptOwnerState>
            <rptOwnerZipCode>21035</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle></officerTitle>
            <otherText></otherText>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <transactionDate>
                <value>2004-03-18</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>1500</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>9.23</value>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>1500</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeTransaction>
    </nonDerivativeTable>

    <derivativeTable></derivativeTable>

    <footnotes></footnotes>

    <ownerSignature>
        <signatureName>James Armstrong P.O.A.</signatureName>
        <signatureDate>2004-03-22</signatureDate>
    </ownerSignature>
</ownershipDocument>

</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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