North Cornwall MP Scott Mann was widely mocked for the suggestion, which he made alongside a call for a “national database” for knives.
On Thursday, official figures revealed the number of knife and offensive weapons offences formally dealt with in England and Wales last year was the highest for almost a decade.
Mr Mann, a former postman, wrote on Twitter: “Every knife sold in the UK should have a gps tracker fitted in the handle. It’s time we had a national database like we do with guns.
“If you’re carrying it around you had better have a bloody good explanation, obvious exemptions for fishing etc.”
Mr Mann was ridiculed by a large number of Twitter users for the proposition, with Labour’s shadow policing minister Louise Haigh posting a tongue-in-cheek reply.
“Brilliant. Job done,” she wrote.
Conservative MP Johnny Mercer later added a sign reading “Ministry of Good Ideas” on the door of Mr Mann’s parliamentary office.
In a video posted on Twitter, Mr Mercer also filmed himself reading out replies to Mr Mann’s tweet.
These included Mr Mann being told: “I think you need a GPS tracker fitted on your head” and “Hey Scott, Comic Relief’s tomorrow mate, not today”.
Mr Mercer also showed Mr Mann a picture of someone having strapped a knife to an iPad.
In the video, Mr Mann admitted to Mr Mercer: “It probably was a bit of a s*** idea but, ultimately, we have a problem and no one’s coming up with any solutions.”
During his spring statement on Wednesday, Chancellor Philip Hammond handed police forces an extra £100m to fight the knife crime “epidemic”.
John Apter, chairman of the Police Federation of England and Wales, said the money was just a “short-term” fix while knife crime “continues to plague our towns and cities”.