Stranraer salvaged a draw a Berwick thanks to Craig Malcolm's 75th-minute strike but were overtaken in top spot by rivals Alloa.
The visitors had earlier taken the lead, Malcolm setting up Stuart McColm to score his eighth league goal of the season in the sixth minute.
Berwick striker Damon Gray's header hit the post three minutes later and the home side were soon back on level terms when Steven Notman tapped in from close range.
Ian Little's side then took the lead thanks to Lee Currie's thunderous 30-yard free-kick on 32 minutes.
But the Borderers were unable to hold on to their advantage and Malcolm raced on to John Kane's assist before coolly finishing past Jamie Barclay in the Berwick goal.
Berwick: Barclay, Walker, Townsley, McLean, Deland, McDonald, Currie, Notman, McLaren (Greenhill 82), Damon Gray (Noble 85), Gribben (Lavery 80). Subs Not Used: Sorley, Thompson.
Booked: Notman, McDonald.
Stranraer: Marshall, Gallagher, McGregor, McKeown (Moore 72), Noble, Winter, Stirling, Kane, Stuart McColm (Shepherd 76), Malcolm, Grehan. Subs Not Used: David Mitchell, Finlayson, Cochrane.
Booked: Kane, McGregor.
Ref: George Salmond