Within a fruit, fruit fly larvae can be subject to scramble competition, in which density‐dependent effects can influence the fitness of subsequent adults. While there is significant research on tephritid interspecific larval competition, it has been conducted in invasive situations where the species are evolutionarily novel to each other. There has been no published research investigating larval competitive interactions between naturally coexisting, endemic species. We ran laboratory‐based, intraspecific and interspecific larval competition trials involving three co‐occurring Bactrocera species of differing genetic relatedness and also measured aspects of juvenile development rate to test possible mechanisms of competitive difference. Larval density had an influence on intraspecific competition in Bactrocera tryoni, Bactrocera neohumeralis and Bactrocera jarvisi, with a decreasing percentage of pupation with increasing larval density. Interspecific competition between B. tryoni and B. neohumeralis, and between B. tryoni and B. jarvisi was influenced by the interaction between species and density. The intensity of competition between B. tryoni and B. neohumeralis was minimal but high between B. tryoni and B. jarvisi. B. jarvisi produced larger eggs and had faster initial larval growth rates than the other two species, but it took the longest time for pupation to occur. Our results conflict with theory, as the greatest competition was observed between the two more distantly related species (B. tryoni and B. jarvisi) rather than between the two most closely related species (B. tryoni and B. neohumeralis). Further, and contrary to other studies, egg size, hatch rate and larval growth rate did not provide B. jarvisi with a competitive advantage; thus, larval size does not appear to be a mechanism of larval competition between B. tryoni and B. jarvisi.