I always viewed that as a spiritual saying not literal.
Romans 2:28-29
28 For he is not a Jew, which is one outwardly; neither is that circumcision, which is outward in the flesh:
29 But he is a Jew, which is one inwardly; and circumcision is that of the heart, in the spirit, and not in the letter; whose praise is not of men, but of God.
Romans 9:6-8
6 Not as though the word of God hath taken none effect. For they are not all Israel, which are of Israel:
7 Neither, because they are the seed of Abraham, are they all children: but, In Isaac shall thy seed be called.
8 That is, They which are the children of the flesh, these are not the children of God: but the children of the promise are counted for the seed.
Galatians 3:7 Know ye therefore that they which are of faith, the same are the children of Abraham.
Ephesians 2:12-13
12 That at that time ye were without Christ, being aliens from the commonwealth of Israel, and strangers from the covenants of promise, having no hope, and without God in the world:
13 But now in Christ Jesus ye who sometimes were far off are made nigh by the blood of Christ.