By the end of 2028, consumers will no longer be able to buy tobacco products of any kind in Lidl supermarkets in Denmark.
The process of removing tobacco from Lidl stores will begin this year, with 20 per cent of cigarettes taken off shelves, the company said.
A completely smoke-free store will also open in the North Jutland town of Hjørring.
“It has to be done in the right way, which is why we have chosen to phase out tobacco products within five years,” said Khalil Jehya Taleb, Deputy Director of Procurement at Lidl Denmark.
"We hope customers will respond positively and will choose Lidl for our other food products," he said. He did not estimate the potential damage the company would have if it were no longer selling tobacco.
"There is no doubt that we will lose turnover. But it also means that we support the charity Danish Cancer Society's agenda for a smoke-free generation," he said.
"If our colleagues in the supermarket industry are interested in accelerating the phase-out, we will also consider it," he said.
Denmark's two largest supermarket companies, Coop and Salling Group, both said on Tuesday they had no immediate plans to follow Lidl's lead.
Coop, which owns Kvickly, SuperBrugsen and 365 discount stores, said it would not display the products or ask for ID from customers wishing to make a purchase.
"But we're not going to stop adults from buying the products they need. Of course, in many places where we're the only store," the company said.
Salling's head of corporate social responsibility, Henrik Vinther Olsen, said the company was open to dialogue about how to reduce smoking.
"But tobacco is a legal product that many people want and can buy legally," he said.
He also pointed out that Salling, which owns Netto, Bilka and Føtex, removed cigarettes from exhibits five years ago.
Lidl's decision was praised by the Danish Cancer Society, which said it could inspire other ways to reduce the number of smokers.
"This is a big step that could one day lead to a complete cessation of the sale of tobacco and nicotine," says Niels Them Kjær, head of the Tobacco Reduction Project at the Danish Cancer Society.
"Until it spreads to more chains, it won't have a serious impact," he said.
Lidl plans to open 60 more stores in Denmark over the next few years. Each of these will be tobacco-free.