Taylor suffered the injury in the dying moments of Swansea's 51-10 Heineken Cup Round 2 defeat to the Irish province.
'It would have been particularly nice to have opposed the All Blacks, but it was not going to be.
'When it rules you out of four internationals it is a big blow to take.
Taylor has suffered with a series of knee problems in recent years. While captaining Wales at the Millennium Stadium against USA in 2000, he sustained ligament damage that kept him out of action for three months.
After last year's Lions tour to Australia, Taylor missed several months after it was discovered he had a hole in the cartilage in his knee, and he aggravated the injury in a pre-season friendly against Bougoin earlier this year.
'You have to view it as just another knock and stay positive,' he said
'The good thing is that I know this is not a serious injury, and I have a clear idea when I will be back.'
A club source said Taylor is progressing well, and should be fit in time for Swansea's Heineken Cup Round 3 game against Bristol Shoguns.
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