We lived in Germany for six years and they didn't have plastic or paper bags. You bought a cloth bag and reused it until it wore out. I've seen that tried here, but it hasn't caught on.
I grew up there and we always had our shopping bags or baskets (shopping at the butchers etc was a daily excursion) but they introduced plastic bags when the supermarkets appeared. Now they’ve gone back to the old way and charge for the plastic bags which they believe will deter it’s use. I don’t know the stats, but I’m inclined to think it’s likely reduced useage, somewhat.