A batch rice production system suitable for retort sterilization operations is provided. The system comprises blanching a dry rice product to a desired hydration pick-up to yield a partially hydrated rice product; and topically coating the partially hydrated rice product by mixing the partially hydrated rice product with an oil-in-water lubricating slurry, the slurry comprising: oil, an amount of water, desired seasonings, and optional additives, wherein the amount of water comprises an amount necessary to substantially achieve a desired target hydration pick-up prior to charging a retort pouch with the hydrated rice product. The novel production system permits manipulation of two points of hydration pick-up to achieve a target hydration pick-up enabling use of gentler fill feed mechanisms and increasing versatility in the selection of rice types and flavoring additives. A superior microwaveable, shelf-stable, commercially sterile, highly palatable rice product that resembles consumer-preferred stove-top prepared rice products, particularly with respect to consistency and flavor, is also provided.