A member of the public alerted Police Scotland to a man who they believed was carrying the blade around the popular Meadows Festival on Saturday afternoon.
Officers raced to the scene of the free, volunteer-run weekend of music, family activities and stalls where thousands were gathered.
Upon arrival, it was discovered the machete had been mistaken for a children’s plastic toy.
A police spokesman said: “We did receive a call yesterday afternoon with a report that a man was in possession of a machete at The Meadows.
“However officers realised it was a toy when they arrived at the scene.”