Smith was injured in the opening week of the competition against the Waikato Chiefs when he contested a high kick and fell awkwardly to the ground.
He missed the Highlanders' 30-27 loss to the Canterbury Crusaders and 16-12 victory over the Auckland Blues.
Smith's return to the field will be welcomed by All Blacks coach Steve Hansen, who has watched on as a series of contenders for the British and Irish Lions tour in June have been injured in the early rounds of the season.
Both Israel Dagg (knee) and Nehe Milner-Skudder (foot), who like Smith can play fullback or on the wing, have been ruled out for up to six weeks, putting their returns around late April.
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Waisake Naholo and Lima Sopoaga have also been ruled out indefinitely for the Highlanders after suffering hamstring injuries.
(Reporting by Greg Stutchbury; Editing by Ian Ransom)
