Their meaning is the same, between and I would add also among.
In rare occasion the meaning is 'within'.
You would prefer /tra/ for instance in this case:
Tra i due fratelli, chi e` il piu` grande?
The reason is only to avoid a repetion of ther sound /fra/ within a very short lapse of time
(evitare le 'allitterazioni').
Or, you would prefer /fra/ in this other situation (same reason as before!) :
Fra i tradimenti e altri eventi spiacevoli, il loro matrimonio giunse a conclusione, per fortuna presto.