In August 1943, the 2/27th returned to New Guinea and subsequently took part in the Ramu Valley–Finisterre Range campaign, flying into Kaiapit before beginning its advance towards Dumpu in September, which was undertaken following the capture of Lae and the Huon Peninsula campaign as part of efforts to advance towards Madang. Advancing through the Ramu Valley towards the range, the 2/27th saw heavy fighting as the 21st Brigade led the 7th Division's efforts to capture the high ground around Shaggy Ridge. In mid-October, the 2/27th helped turn back a heavy Japanese counterattack around John's Knoll and Trevor's Ridge, before the 21st Brigade was relieved. Halfway through the campaign, in mid-November, Bishop was replaced as battalion commander by Lieutenant Colonel Keith Picken, and returned to a staff position. Picken subsequently led the battalion throughout the remainder of the war. By early January 1944, the 2/27th was withdrawn from the fighting and in March 1944 it returned to Australia.