Mayor Michael R. Bloomberg, fresh off a defeat in his campaign to limit large servings of sugary drinks, proposed legislation on Monday requiring stores to put cigarettes out of public sight and to increase penalties on the smuggling and illegal sales of cigarettes.

Mr. Bloomberg said at a news conference that the proposal would make New York the first city in the nation to keep tobacco products out of sight. He said smoking remained a leading cause of preventable death, killing 7,000 New Yorkers a year.

The proposal will go to the City Council for its consideration, a step that Mr. Bloomberg skipped when he proposed a ban on sugary drinks bigger than 16 ounces in movie theaters, restaurants and other establishments. That rule went through only the city’s Board of Health, and a state judge ruled a week ago that the board, among other missteps, had exceeded its authority. The city is appealing the ruling.

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